THE Dangote Petroleum Refinery has raised its Premium Motor Spirit (PMS) or petrol gantry price to N995 per litre, representing a sharp N221 jump in just four days. The surge comes amid volatility in global crude oil prices, shipping costs, and ongoing geopolitical tensions.
This raises inflationary prospects and inflicts hardship on Nigerians who are reeling from years of enduring cost-of-living crisis.
A senior refinery official confirmed the adjustment to The Punch, noting that the review reflected shifts in international oil market fundamentals. “Yes, the price has been reviewed. The new gantry price is now N995 per litre,” the official said.
This latest revision follows a series of rapid increases: petrol moved from N774 to N874 per litre earlier this week before climbing again to the current N995. In total, the cost of a litre of petrol has surged by about 29 percent in less than a week, a development that threatens to exacerbate financial pressures for ordinary Nigerians.
Checks on petroleumprice.ng show the new gantry price has been updated, signaling a likely ripple effect on retail pump prices across the country, with petrol expected to sell above N1,050 per litre in some locations once transportation and marketers’ margins are factored in.
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The hike comes after a brief suspension of petrol loading operations at the refinery on Friday, which left depot owners and bulk marketers uncertain and sparked speculation of an imminent price adjustment. Analysts note that such pauses have historically preceded significant price changes.
Refinery officials defend the increase, citing the need to align domestic petrol prices with international crude oil prices, logistics costs, and operational realities. A statement from the refinery emphasised that price decisions are not arbitrary but driven by global market movements and the cost of crude oil used in refining.
The refinery also highlighted Nigeria’s ongoing transition to a fully deregulated downstream petroleum sector, where domestic petrol prices are largely influenced by global crude oil prices, foreign exchange rates, and supply dynamics. The refinery claims it absorbs a portion of rising costs to ease the burden on consumers, but Nigerians continue to face the brunt of price shocks.
Middle East crisis
Amid escalating tensions in the Middle East, benchmark Brent overcrude has risen by over 24 percent this week to $92.69 per barrel on Friday night. While the refinery prioritises domestic supply to shield the country from global supply shocks, the rising gantry price reflects the reality that Nigerians are paying more for fuel than ever.
Data from the Major Energy Marketers Association of Nigeria (MEMAN) shows that imported petrol currently costs about N64 less per litre than Dangote’s domestic product, highlighting the steep financial impact on consumers who rely on locally refined fuel.
As petrol prices climb, Nigerians, already grappling with inflation, high transportation costs, and dwindling purchasing power, face additional financial strain, underscoring how global market shifts directly translate into everyday hardship at home.
