The Nigerian National Petroleum Company Limited (NNPC) on Tuesday raised the retail price of Premium Motor Spirit (PMS), commonly known as petrol, just weeks after a previous increase. This latest price adjustment has fueled concerns over potential inflation spikes and economic hardship.
In Abuja, NNPC outlets raised the price per liter to N1,060 from N1,030, while in Lagos, the price increased from N998 to N1,025. This change marks the third price adjustment in the past two months, as NNPC implements a deregulation policy that aligns fuel prices with market conditions. The recent hike has drawn criticism from business groups, civil society organizations, and the general public, many of whom worry about its impact on Nigeria’s already high inflation rate, which recently reached a 28-year peak of 34.2%.
In Abuja, NNPC’s Wuse Zone 4 mega station was selling petrol at the new rate of N1,060 per liter, while its Central Area station maintained the previous price of N1,030, resulting in long queues as consumers sought more affordable fuel. Meanwhile, at the Ogudu Expressway station in Lagos, petrol was dispensed at N1,025 per liter, with similar queues observed.
This hike comes on the heels of the October 9, 2024, increase from N897 to N1,030, and follows a prior adjustment on September 2, 2024, from N617 to N897. These rapid price escalations have intensified public scrutiny, with citizens expressing frustration over the rising costs and its impact on their daily lives.
Alhaji Aliko Dangote, president of Dangote Group, weighed in on the matter during a meeting in Abuja with President Bola Tinubu, Finance Minister Wale Edun, and NNPC Group Chief Executive Officer Mele Kyari. Dangote, whose $20 billion Lekki-based refinery recently began producing petrol, questioned the continued importation of petrol by NNPC and other marketers, urging them to leverage domestic supply instead.
“I have a refinery; I’m not in the retail business. If I were, then you could hold me responsible,” Dangote said. “We have what they need, and I will continue pumping. It’s now up to the NNPC and marketers to pick up the supply locally rather than import,” he added.
As Nigerians grapple with rising living costs, this latest price increase underscores the broader challenges of ensuring stable energy access amid shifting market policies and high inflation.
