The ex‑depot price of Premium Motor Spirit (petrol) has surged by 110 percent in just four months, according to recent findings. In October, the price was N148 per litre; by 3 February this year, it had risen to an average of N312 per litre. As the sole importer of petroleum products, the Nigerian National Petroleum Company Limited (NNPCL) originally set the depot price at N148 per litre. However, scarcity drove the average price to N312 per litre within the same period, as reported by the Major Oil Marketers Association of Nigeria (MOMAN).
While the increase was evident at depots, pump prices also jumped dramatically, climbing from N179–N180 per litre to as high as N500 per litre, depending on location. The lowest average ex‑depot price recorded during the review period was N303 per litre at the Apapa depot, with Ibafon depot at N305 per litre. The highest price, N312 per litre, was observed at the Satellite depot, all within Lagos State.
NNPCL recently raised the ex‑depot price to N172 per litre. The Depots and Petroleum Products Marketers Association of Nigeria (DAPPMAN) attributes the continued rise to a weakening foreign‑exchange rate, illegal levies, and high costs associated with daughter vessels. The Independent Petroleum Marketers Association of Nigeria (IPMAN), which represents over 30,000 members and controls 80 percent of the downstream market share, has repeatedly highlighted daily price hikes at depots, citing high transportation costs, elevated operating expenses, and other challenges.
IPMAN Chairman of the Satellite Depot, Akin Akinrinade, urged the federal government to revive the refineries to enable local production, stating, “The lasting solution is for the refineries to start functioning and we begin local refining.” Operations Controller Mike Osatuyi added that removing fuel subsidies and deregulating the sector are essential to resolving fuel scarcity, noting, “The permanent solution is to deregulate and remove subsidies. Allow the market to be a free market where marketers other than the NNPC can bring in products. Since the government said the subsidy will be removed in June, let’s wait and see, but until then, we have to manage.”
MOMAN also advocated for deregulation of the downstream sector, arguing that NNPCL’s monopoly as the sole importer strains national resources and limits private‑sector participation. The group’s latest report, “Industry Data Sheet,” recommends opening the supply side in accordance with Section 317 (8‑11) of the Petroleum Industry Act 2021, encouraging private sector involvement in importing refined petroleum products through a transparent and inclusive process to reduce current inefficiencies.
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