Nigerians are grappling with another sharp increase in petrol prices as oil marketers raise pump prices far above the rate of increase in global crude oil prices.
On Tuesday, petrol stations across the country adjusted their pump prices from an average of ₦750 per litre to ₦850 per litre, citing a surge in international crude oil prices, which rose by 6.2 percent, from $64 to $68 per barrel on Monday.
However, the local retail price of petrol rose by 14.3 percent, more than double the rate of increase in crude prices. The Dangote Refinery also adjusted its gantry price from ₦699 to ₦799 per litre, representing a similar 14.3 percent hike.
Following the refinery adjustment, NNPC Retail outlets increased their pump price from ₦815 to ₦835 per litre, while other independent marketers raised prices even higher. AYM Shafa, for instance, raised its price from ₦815 to ₦900 per litre.
Speaking with Vanguard, the National Public Relations Officer of the Independent Petroleum Marketers Association of Nigeria (IPMAN), Chief Chinedu Ukadike, attributed the hikes to rising crude oil costs.
“Crude oil price has increased, and refiners have adjusted their prices accordingly. Once your buying source increases, you have to increase too. Dangote has raised its price by over ₦110,” Ukadike explained.
Responding to concerns about why marketers increased prices despite having old stock, he said:
“It’s the nature of the business. Even if we sell from old stock, we can’t replace it at the old price. The buying rate and margins are high, and marketers must adjust to stay in business.”
The latest increase has sparked frustration among consumers, who continue to face mounting fuel costs amid stagnant wages and rising inflation.
