Marketers Speak as Fuel Prices at Various Filling Stations Emerge, One Cheaper Than NNPC

• The decision by the federal government to deregulate the petroleum industry means that there are no uniform fuel prices
• Filling stations are currently selling fuel between N900 and N1,070 in Lagos and other parts of the country
• The recent surge in global oil prices to above $80 is expected to soon lead to another change in fuel prices

Legit.ng journalist Dave Ibemere has over a decade of business journalism experience with in-depth knowledge of the Nigerian economy, stocks, and general market trends

The average price for Premium Motor Spirit (PMS), popularly known as petrol, ranges between N900 and N1,070 per litre at various filling stations nationwide.

There are now strong indications that the prices will not remain that way for a very long time amid a rise in global oil prices.

In July 2023, the federal government boldly decided to deregulate the downstream sector fully

The current market regime gave birth to competition, meaning market forces will determine prices under a willing buyer, willing seller model.

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New pump price expected at filling stations as depots sell petrol to marketers at new rate

Price of fuel at filling stations

Some marketers are now offering fuel at prices lower than those of NNPC retail stations to attract more customers.

BusinessDay reports that At an independent marketer’s station on Okota, Ago Palace Way, Lagos, petrol was sold for N900 per litre last week. Meanwhile, at the NNPC outlet at Apple Junction in Amuwo Odofin, Lagos, the price was N925 per litre.

In the Federal Capital Territory (FCT), NIPCO Plc sells petrol at a lower price compared to NNPC retail outlets. For instance, at its Airport Road station in Abuja, NIPCO Plc offers petrol at N920 per litre, whereas NNPC’s Gudu Market outlet sells it for N954 per litre.

In Kano, TotalEnergies sells petrol for N1,130 per litre, while in Uyo, the price is N1,149 per litre. However, A.A. Rano maintains a uniform pump price of N1,150 per litre in both cities.

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Marketers announce new petrol price as cost of crude oil increases

MRS Oil Nigeria Plc, in partnership with Dangote Refinery, has recently reduced the petrol price to N935 per litre across all its stations nationwide, aiming to resolve the persistent issue of price disparities between states.

New fuel prices expected

Oil marketers have warned Nigerians to get ready for an increase in the pump price of Premium Motor Spirit (PMS), commonly known as petrol, citing rising crude oil prices, according to The Cable.

Brent crude, the global benchmark, recently surged to $81 per barrel, driving up the cost of loading petroleum products.

According to Billy Gillis-Harry, President of the Petroleum Retail Outlet Owners Association of Nigeria (PETROAN), the pump price of petrol is directly influenced by production costs, making a price hike unavoidable.

He stated:

“Global crude oil prices will always affect production costs. When production costs rise, it inevitably impacts the price and availability of PMS.”

Ex-depot petrol price rises

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After FG's order, filling station owners move to sell fuel priced at N200 nationwide

Earlier, Legit.ng reported that oil depots had increased their ex-depot petrol prices from N907 to N950 per litre.

Prices at various private depots were also revealed, with Shellplux, a private depot, now loading petrol at N960 per litre.

Additionally, there have been changes in diesel prices.

Source: Legit.ng