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Petrol price drops in Nigeria after import duty suspension

Fuel prices in Nigeria’s Federal Capital Territory have fallen after the federal government suspended a 15 % import duty on petrol […]

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Fuel prices in Nigeria’s Federal Capital Territory have fallen after the federal government suspended a 15 % import duty on petrol and diesel. The price adjustment was evident at several filling stations, including Ranoil and Empire, which lowered their petrol pump prices to N940 and N949 per litre, respectively, down from N955. This reduction translates to a decrease of between N6 and N15 per litre.

The Independent Petroleum Marketers Association of Nigeria attributes the drop to the government’s decision to suspend the planned import duty. According to the association’s spokesperson, Chinedu Ukadike, the suspension has eased anxieties about a potential rise in fuel prices and he expects petrol prices to fall further.

The government’s move is also seen as a measure to prevent the Dangote Refinery from gaining an unfair advantage in the downstream sector, a scenario that could have driven fuel prices higher. Earlier this month, the Nigerian National Petroleum Company Limited reduced its fuel pump price to N945 per litre in Abuja. Currently, most filling stations in Abuja and its environs are selling fuel between N940 and N955 per litre.

At the depot level, the ex‑depot price of petrol at Dangote Refinery stands at N856 per litre, while other depot owners such as Aiteo, NIPCO, and Pinnacle are selling at N854, N858, and N858 per litre, respectively. The reduction in fuel prices is expected to benefit consumers and the broader economy. By suspending the import duty, the government has averted a potential increase in fuel prices that could have had far‑reaching consequences. As the situation evolves, fuel prices will remain a key focus for the government, consumers, and stakeholders in the petroleum industry.

Ifunanya

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