(DDM) – The Dangote Petroleum Refinery has once again increased the price of Premium Motor Spirit (PMS), popularly known as petrol, marking the third upward adjustment within a week and raising fresh concerns over fuel costs in Nigeria.
The refinery announced on Monday that the gantry price of petrol has been raised to N1,175 per litre, up from N995 per litre announced just days earlier. The new rate represents an increase of N180 per litre, translating to roughly 18.1 percent within three days.
In addition to petrol, the refinery also adjusted the price of Automotive Gas Oil (AGO), commonly known as diesel, which now stands at N1,620 per litre at the gantry.
Industry analysts say the repeated price increases could have significant implications for fuel marketers, transport operators, and consumers across the country, especially as fuel prices continue to influence the overall cost of living.
The price announced by the refinery applies primarily to bulk buyers and fuel marketers purchasing directly from the facility. Retail pump prices at filling stations across the country may vary depending on distribution costs, logistics, and retailer margins.
The refinery, owned by Nigerian industrialist Aliko Dangote, is regarded as one of the largest single-train refineries in the world and was expected to reduce Nigeria’s long-standing dependence on imported petroleum products.
However, market dynamics such as global crude oil prices, exchange rate fluctuations, and supply chain costs continue to influence domestic fuel pricing.
Observers note that frequent price adjustments by the refinery reflect the broader challenges facing Nigeria’s energy market since the removal of fuel subsidies by the administration of President Bola Tinubu.
The subsidy removal policy, announced shortly after Tinubu assumed office in 2023, ended decades of government price controls on petrol, allowing market forces to determine the cost of the product.
While the policy was intended to reduce government spending and encourage private investment in the petroleum sector, it has also resulted in sharp increases in fuel prices across the country.
Economists warn that rising fuel costs could trigger further increases in transportation fares, food prices, and production expenses for businesses, as fuel remains a key driver of economic activity in Nigeria.
For now, consumers and industry stakeholders are closely watching developments in the petroleum market as the impact of the latest price adjustment begins to ripple through the economy.
