The Nigerian National Petroleum Company Limited has adjusted the pump prices three weeks after raising the price of Premium Motor Spirit, also known as petrol.
On Tuesday, the NNPCL increased the retail price of petrol in Abuja from N1,030 to N1,060 per litre, as observed at multiple NNPCL stations in the Federal Capital, according to The Punch.
Experts and stakeholders in the Nigerian oil and gas sector are warning that inflation may escalate further following the recent petrol price hike, which comes after inflation reached a 28-year high of 34.2 percent in June.
The new petrol price in Abuja reflects an increase of N30 from the previous rate, while in Lagos, the price has risen by N27.
This adjustment marks the third price change between September and October 2024 and aligns with the government’s deregulation policy, which permits prices to fluctuate based on supply and demand dynamics. At the NNPCL mega station in Wuse Zone 4, petrol is now sold at N1,060 per litre.
At the NNPCL station on Olusegun Obasanjo Way in the Central Area, petrol was still being sold at N1,030, despite the recent price increase, leading to long queues as commuters scrambled to fill up.
This latest hike follows the previous increase on October 9, 2024, which raised the price from N897 to N1,030. Earlier, on September 2, 2024, the NNPCL had also increased the price per litre from N617 to N897, triggering widespread outrage across the country.
Since the “subsidy is gone” presidential declaration in May 2023, the NNPCL has gradually increased the pump prices of petrol from N184 in Lagos to N1,025.
Though there has not been any official statement from the NNPCL on the latest increase in petrol prices – just like the oil firm did during their last hike earlier this month – the NNPCL hinted at a fresh price increase when it began loading its first batch of petrol from the Dangote Refinery in mid-September.
Analysts have expressed confusion over the latest price hike, particularly as crude oil prices in the international market have dropped by approximately eight percent, falling from $78 per barrel to $72 per barrel.
“The market price has not settled yet,” President, Petroleum Retail Outlets Owners Association of Nigeria, Billy Gillis-Harry, said.
“The situation is a pathetic one, and we hope the President will call us to negotiate the N100bn offer we have requested to stabilise the price of petrol. It will give us a guarantee of alternative sourcing of products.”
The National Publicity Secretary, Petroleum Retail Outlet-Owners Association of Nigeria, Joseph Obele, stated that members of the association had been purchasing petrol from the NNPC at N1,040 per litre prior to the company’s price hike on Tuesday.
He clarified that the NNPC had not issue a memo announcing the price increase and had not updated the price on the purchasing portal.
“We have not received a memo from the NNPC. It is circulating on social media, the news regarding price increment. But in our national headquarters, we have yet to get a memo to that effect, and it has yet to be reflected on our buying portal.
“The retail outlet owners or marketers licensed by the NNPC have a buying portal called the NNPC Retail Buying Express where we book products, and the amount on that portal as of this hour is still the old one. However, there are indications that the price will have an upward review in the next few days, but we are yet to see it on our portal,” Obele stated.
In response to a question about the prices marketers pay to the NNPC, Obele noted that those in Port Harcourt buy a litre for N1,040, while those in Lagos acquire it for around N1,020 to N1,030.
“Though our portal rate has not changed, there are indications that we are on the verge of another price hike. We have permutations in the sector that make us ascertain when we are anticipating an upward review; and from all indications, there might be a review in the next few days because we are aware that the NNPC retail outlets in Lagos and Abuja have adjusted prices in the early hours of today (Tuesday),” Obele stated.
At the NNPCL fuel station in Ikotun, Lagos, petrol was priced at N1,025 per litre on Tuesday.
Similarly, the NNPCL filling station along Ogudu Expressway also offered petrol at N1,025 per litre, with numerous vehicles lined up to purchase the fuel.
