Nigerian filling stations, including those backed by Dangote Refinery, raised petrol retail prices over the weekend, following a significant increase in the refinery’s wholesale or “gantry” price.
The adjustments began on Saturday, less than a day after Dangote Refinery, a major domestic supplier, increased its gantry petrol price by N70 to N1,245 per litre on Friday. MRS filling stations in Abuja and surrounding areas implemented an immediate N100 increase, bringing their pump price to N1,367 per litre from N1,267. Other independent retailers such as Ranoil, Empire Energy, and AA Rano also elevated their rates, with prices ranging from N1,370 to N1,440 per litre in the capital.
An MRS station manager, speaking anonymously, confirmed the hike was directly linked to the refinery’s new gantry price of N1,275 per litre. The manager stated the retail increase was necessary to cover sourcing costs. This creates a broad retail price band of approximately N1,367 to N1,440 per litre across private stations.
Notably, the Nigerian National Petroleum Company Limited (NNPCL), the state-owned oil firm, continues to sell petrol at a significantly lower rate of N1,261 per litre at its retail outlets, offering a point of contrast in the market.
The price adjustments mark the fourth increase from Dangote Refinery in recent months. According to data from the Nigerian Midstream and Downstream Petroleum Regulatory Authority for February, the refinery supplies about 61 per cent of Nigeria’s domestic petrol consumption. Analysts note that any price shift from such a dominant supplier has a ripple effect across the entire downstream sector, directly impacting the majority of the population that relies on private filling stations.
This domestic price movement coincides with a rise in global crude oil benchmarks, which surpassed $110 per barrel on Saturday. Market analysts attribute the global spike to escalating geopolitical tensions involving Iran, the United States, and Israel, which are adding a risk premium to oil prices and affecting economies worldwide.
The concurrent rises in global crude costs and local refinery pricing underscore the persistent challenge of fuel subsidy removal and exchange rate pressures on Nigeria’s petroleum market. Consumers now face higher costs at the pump, with the extent of the increase varying by retailer and location.
