The price of petrol at the pump has increased for the second time in just three weeks, now selling for N1,025 per litre at Nigerian National Petroleum Corporation Limited (NNPCL) outlets in Lagos and N1,050 in Abuja.
On October 9, 2024, the price of the commodity had already risen from N897 to N1,030 per litre in Abuja, while in Lagos, it jumped from N885 to N998. However, this recent hike has seen prices move even higher, with outlets adjusting to the new rates.
A visit by a Daily Trust correspondent to an NNPCL station located on Arab Road in Kubwa, a satellite town in Bwari Area Council, confirmed the new pricing. Similarly, in Lagos, the NNPCL station in Ikeja was found selling petrol at N1,025 per litre.
Earlier reports had shown a potential price increase, following NNPCL’s decision to withdraw from its role as an intermediary in the Dangote Refinery purchase arrangement. This move implies that NNPCL will no longer absorb the price differential between the refinery’s rates and the retail selling price, which previously involved a subsidy of N133 per litre.
Experts have described this decision by NNPCL as a significant step towards fully deregulating the country’s oil market. As a result, petrol marketers will now negotiate prices directly with the Dangote Refinery under a “willing buyer, willing seller” framework, similar to the process already in place for other deregulated products such as diesel and kerosene.
This shift indicates that market forces will now play a larger role in determining the price of petrol, further aligning with the government’s broader strategy for deregulation in the petroleum sector.
Daily Trust
