Nigeria’s petroleum products depot owners and marketers have raised their ex-depot petrol prices due to the planned shutdown of Dangote Refinery’s petrol unit for maintenance and upgrades. The price increase has been observed across major depots, with Ranoil, Optima, and AYM Shafa selling petrol at around N800 per liter, up from the previous range of N740 to N780. Dangote and Aiteo are currently selling at N702 and N740 per liter, respectively.
The latest price hike is attributed to the scheduled turnaround maintenance at the Dangote Refinery, which is expected to impact the supply of petrol in the country. According to Devakumar Edwin, Vice President of Dangote Industries, the refinery has been operating at over 100% capacity in most departments and requires maintenance to remove constraints and increase overall output.
As of Saturday afternoon, retail fuel prices in Nigeria ranged from N739 to N910 per liter across major filling stations. The price increase has raised concerns about the potential impact on consumers and the overall economy. The Dangote Refinery, which is one of the largest refineries in Africa, plays a significant role in meeting Nigeria’s petrol demands.
The planned maintenance at the Dangote Refinery is expected to be a routine procedure to ensure the optimal functioning of the facility. However, the impact on petrol prices highlights the country’s reliance on imported fuel and the need for increased domestic refining capacity. Nigeria has been working to increase its refining capacity, with the Dangote Refinery being a key part of this effort.
The current price increase may be a short-term setback, but it also underscores the importance of investing in the country’s energy infrastructure. As the Nigerian government continues to work towards increasing domestic refining capacity, the country may eventually reduce its reliance on imported fuel and stabilize petrol prices. For now, consumers will have to bear the brunt of the price increase, and it remains to be seen how the situation will unfold in the coming days.