NNPCL Under Pressure to Cut Petrol Prices Amidst Dangote Refinery Competition
The Nigerian National Petroleum Company Limited (NNPCL) is considering a fresh reduction in petrol (PMS) prices, following a major price slash by MRS filling stations in collaboration with Dangote Refinery.
This move comes after MRS announced a price drop across various regions on Monday, marking the first petrol price reduction of 2025.
Latest Petrol Price Drop: What You Need to Know
According to MRS’s official X account, their fuel pump prices have dropped to:
- ₦925 per litre in Lagos
- ₦933 per litre in the South-West
- ₦945 per litre in the North
- ₦955 per litre in the South-East
This is a significant decrease from the ₦970 per litre previously charged. Just weeks earlier, Dangote Refinery had also slashed its ex-depot price from ₦970 to ₦870 per litre on February 1, 2025.
Will NNPCL Reduce Petrol Prices Soon?
Energy experts, including Billy Gillis-Harry, President of the Petroleum Products Retail Outlet Owners Association (PETROAN), and Chinedu Ukadike, spokesperson for the Independent Petroleum Marketers Association of Nigeria (IPMAN), believe that NNPCL has no choice but to cut prices to remain competitive.
“NNPCL cannot sustain higher prices when cheaper fuel options are available. A price cut is inevitable,” Gillis-Harry stated.
Similarly, Ukadike emphasized that the ongoing price war between Dangote Refinery and NNPCL will likely force NNPCL to adjust its rates downward soon.
Why Petrol Price Cuts Haven’t Reduced Transport and Food Costs
Despite these price reductions, transportation fares and food prices remain high across Nigeria. Gillis-Harry attributed this to weak purchasing power among Nigerians.
“Even with cheaper fuel, transport costs remain unchanged because Nigerians have low spending power. To see real change, we must invest in productivity—agriculture, fishing, and technology,” he noted.
However, Ukadike is optimistic that the effects of these price reductions will be felt over time, gradually impacting transportation and the cost of goods and services.
Concerns Over Frequent Petrol Price Adjustments
Industry stakeholders have raised concerns over frequent fluctuations in petrol prices, warning that it could destabilize the market.
Gillis-Harry criticized the constant price changes, stating that they create losses for fuel marketers who purchase stock at a higher price before new reductions take effect.
“It’s impossible for marketers to sell below their purchase cost. Many still have fuel bought at ₦970 per litre, which complicates sales at lower rates,” he explained.
Final Thoughts: What’s Next for Petrol Prices?
As the price rivalry between Dangote Refinery and NNPCL intensifies, fuel prices are expected to remain volatile.
Nigerians are watching closely to see whether NNPCL will announce a fresh price reduction in the coming days.
For more updates on fuel prices and economic trends, stay tuned to NIGPOST and share your thoughts in the comments!
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