KEY POINTS
- NNPC cuts petrol price by ₦10 to ₦1,355 per litre.
- Refinery consortium reduces its gantry price by ₦55 to ₦1,210.
- Average quoted depot price falls to about ₦1,259 per litre.
The Nigerian National Petroleum Company (NNPC) Limited has reduced its petrol pump price by ₦10 per litre, bringing the price down from ₦1,365 to ₦1,355 as competition intensifies in Nigeria’s downstream petroleum market.
The reduction represents a 0.73 per cent decrease and reverses a price increase introduced the previous week.
The latest adjustment comes amid falling wholesale petrol prices among major suppliers and independent depot operators, putting pressure on filling stations to review their pump prices.
A key development was the decision by the Refinery consortium to reduce its petrol gantry price by ₦55 per litre, from ₦1,265 to ₦1,210. The reduction represents a 4.35 per cent cut in its wholesale price.
The lower gantry price has contributed to changing market conditions, as fuel suppliers compete to attract customers and respond to movements in depot prices.
Depots lower wholesale prices
Several independent depot operators in Lagos have also adjusted their petrol prices.
African Terminal, Integrated, Rainoil, Ardova and Nipco were quoted at ₦1,260 per litre, while Aiteo offered the product at ₦1,255.
Across the six depot operators, the average quoted price stood at approximately ₦1,259.17 per litre, down from ₦1,300.
The decline in depot prices provides room for marketers to reduce pump prices, although the extent and timing of any adjustment will depend on individual filling stations and their operating costs.
Consumers await the full impact
NNPC’s latest price cut highlights the influence of competition on petrol pricing in Nigeria’s deregulated downstream market.
However, motorists may not benefit immediately or uniformly from the reduction, as filling stations could adjust their prices at different times depending on existing stock and purchase costs.
The extent to which the lower wholesale prices translate into further reductions at the pump will remain a key factor for consumers facing elevated fuel expenses.
