₦airaland Forum

The Dangote Petroleum Refinery has again increased the gantry price of petrol and diesel, further tightening pressure on consumers and businesses across Nigeria.

A top official at the refinery, who confirmed the development to our correspondent on Tuesday night, said the facility adjusted its pricing in response to prevailing international crude oil benchmarks and market realities.

The new pricing template shows that petrol rose by N75 per litre to N1,275, representing an increase of about 5.02 per cent, while diesel jumped by N200 per litre to N1,950.

This marks a sharp increase from last month’s prices of N1,200 per litre for petrol and N1,750 for diesel, signalling that diesel is now on track to breach the N2,000 per litre mark at the pump, further intensifying cost pressures across the economy.

“The adjustment is in line with global market trends. You are aware of the ongoing tensions in the Middle East and how they have impacted crude oil prices. These are external factors that directly influence refined product pricing,” the official said.

He added, “Petrol has been reviewed upward by N75 to N1,275 per litre, which is about a five per cent increase, while diesel has increased more significantly by N200 to N1,950 per litre. These changes reflect the realities of the international market.”

Market data from Petroleumprice.ng corroborated the development, indicating that the latest petrol price reflects a 5.02 per cent increase at the gantry level.

The development comes at a time when stakeholders had hoped that increased local refining capacity would help stabilise domestic fuel prices. However, Nigeria remains exposed to global oil price volatility due to its reliance on international crude benchmarks for pricing.

The latest hike could trigger a fresh wave of increases in pump prices nationwide, with marketers expected to pass on the additional cost to consumers in the coming days.

Global oil markets have remained volatile in recent weeks due to escalating tensions in the Middle East, a region that accounts for a significant share of the world’s crude oil supply. Any disruption or perceived risk to supply routes often leads to price spikes, which in turn affect refined petroleum products globally.

Nigeria, despite being an oil-producing country, operates a deregulated downstream sector where fuel prices are largely determined by market forces. This means that local prices are influenced by international crude prices, exchange rates, logistics costs, and refinery operations.

The Dangote Petroleum Refinery, Africa’s largest, was expected to reduce Nigeria’s dependence on imported fuel and help stabilise prices.

However, experts note that as long as crude oil pricing remains tied to global benchmarks, domestic fuel prices will continue to fluctuate in response to international developments.

The latest increase also comes amid concerns over affordability, with consumers already grappling with high energy and transportation costs.

A sustained price increase could worsen inflationary pressures and slow economic recovery.

treesun:
Straight of Holmus opened, Nlfpmod!

treesun:
https://punchng.com/breaking-dangote-hikes-petrol-price-to-n1275-diesel-n1950/

flokii:
This wicked man is targeting #1,800 to #2,000 per litre petrol price before year end.. Nigerians will be the ones to suffer for the injustice going on in the Petroleum sector.

A man operating refinery in Free Zone has no business with the Nigerian markets.. his petroleum products are as good as imported products once they enter into Nigeria's custom territory yet they are stopping marketers from importing cheaper petrol for someone that's technically not operating within Nigeria.
When the economy shuts down completely, all our eyes go clear.

iwaeda:
It has favoured me and my family. Just N1350, bear with Tinubu.

rottable:
I hope this news is not true 😡😡😡

Transport to work will be more expensive now. Please stop this expensive joke

anonimi:
Petrol should never cost more than N70 per litre, says APC

January 19, 2015

The All Progressives Congress (APC) has described as mere tokenism the reduction of petrol price from N97 to N87 per litre, saying the petroleum product ordinarily should sell for N70.

On Sunday, the federal government announced the reduction of petrol price, citing the fall of global crude oil price.

But the APC through Lai Mohammed, its spokesman, on Monday accused the government of making a show out of deceit, saying “a 10.3 per cent slash in the price of petrol was a mere tokenism at a time the price of crude oil has crashed by about 60 per cent”.

It argued that the pump price of a litre of petrol should not be more than 70 Naira, alleging that at N87 per litre, the government was forcing Nigerians to subsidise the massive corruption in the oil sector by N17 for every litre of fuel.

https://www.thecable.ng/petrol-never-cost-n70-per-litre-says-apc/

MakindeHassan:
This is crazy, and the government isn’t saying anything. Other countries declared 4 working days to help workers with the cost, nobody cares in Nigeria, I have spent so much on transport this past week, NLC, Nigeria Government, even Nigerians are all quiet.

Meanwhile Iran has reopened the strait. Oil prices should begin to fall but Dangote is increasing.

MakindeHassan:
This is crazy, and the government isn’t saying anything. Other countries declared 4 working days to help workers with the cost, nobody cares in Nigeria, I have spent so much on transport this past week, NLC, Nigeria Government, even Nigerians are all quiet.

Meanwhile Iran has reopened the strait. Oil prices should begin to fall but Dangote is increasing.