KEY POINTS
- Diesel prices rose by 23.98 percent year-on-year in June 2025 to N1,813.81/litre, with the sharpest increases recorded in Benue, Adamawa, and Plateau states.
- Regional disparities remain stark, with South-South residents paying the highest average prices and South-West the lowest.
- Rising diesel costs, along with hikes in petrol and cooking gas, are amplifying pressure on Nigerian households and businesses.
Nigerians are paying significantly more to power their generators and heavy-duty vehicles as diesel prices continue to climb.
Energy News Africa reports that the average retail price of Automotive Gas Oil, more commonly known as diesel, jumped nearly 24 percent year-on-year in June 2025, hitting N1,813.81 per litre compared to N1,462.98 recorded in the same month a year earlier, according to new figures from the National Bureau of Statistics.
The NBS report, part of its monthly “Diesel Price Watch,” also showed a month-on-month increase of 3.16 percent, up from N1,758.26 per litre in May. The steady uptick in prices adds to the financial pressure on businesses and households already grappling with broader inflation and unstable energy supplies.
Wide Disparities Across States and Regions
As with petrol and cooking gas, the cost of diesel is far from uniform across the country. Benue State recorded the highest average diesel price in June at N2,541.46 per litre, followed closely by Adamawa (N2,355.32) and Plateau (N2,236.42). At the opposite end of the spectrum, Ondo residents paid the lowest price at N1,365.71, trailed by Anambra (N1,391.02) and Kogi (N1,400.00).
The data also pointed to noticeable regional variations. Diesel was most expensive in the oil-rich South-South, where the average price hit N1,963.86 per litre, while the South-West posted the lowest regional average at N1,618.74. The North-Central region—home to seven states and the Federal Capital Territory—had an average price of N1,958.38, showing that price pressures are not limited to the south alone.
In the North-East and North-West, prices hovered around N1,799.37 and N1,807.80 respectively, while the South-East saw slightly lower rates at N1,691.17.
“Diesel price movement over the last three months has shown consistent increases,” said an NBS analyst, pointing out that Benue, Adamawa, and Plateau have consistently led the pricing charts since April.
Broader Energy Market Pressures
The diesel surge mirrors rising prices in other key energy segments. Cooking gas hit an average of N8,323 for a 5kg cylinder in June, while petrol climbed to N1,037 per litre. These increases have combined to push up transportation costs, weaken small businesses, and strain household budgets already stretched thin by food inflation and currency volatility.
In May 2025, diesel prices also saw a significant year-on-year increase of 25.24 percent compared to May 2024, and a 2.08 percent rise from April. Again, the top-paying states remained the same, reinforcing the trend of regional disparity.
With no government subsidy cushioning diesel costs and continued reliance on importation, prices are likely to remain elevated in the near term. The NBS figures serve as yet another sign that Nigeria’s energy market is being reshaped by liberalization and persistent supply-side inefficiencies.
