NNPC Increases Petrol Price to ₦835/Litre in Lagos, ₦839/Litre in Abuja

The Nigerian National Petroleum Company (NNPC) Limited has announced an upward adjustment in the pump price of Premium Motor Spirit (PMS), commonly known as petrol, across its retail outlets in major cities. Effective immediately, the new price stands at ₦835 per litre in Lagos, marking a ₦50 increase from the previous ₦785 per litre. In Abuja, the price has been hiked to ₦839 per litre, up by ₦24 from ₦815 per litre, according to observations at filling stations on Wednesday.

This development comes just a day after the Dangote Refinery revised its ex-gantry price for petrol to ₦799 per litre. The refinery also stated that MRS retail outlets would now dispense the product at ₦839 per litre, a significant jump from the earlier ₦739 per litre. Industry analysts attribute the NNPC’s price hike to the ripple effect of the refinery’s adjustment, as Nigeria continues to navigate the post-subsidy era in the downstream petroleum sector.

The price increase is likely to add further pressure on Nigerian households and businesses already grappling with rising inflation and economic challenges. Motorists in Lagos and Abuja were seen queuing at NNPC stations early Wednesday, expressing frustration over the sudden change. “This is becoming unbearable,” said a commuter in Abuja, who spoke on condition of anonymity. “How are we supposed to cope with these frequent hikes?“

In a related development, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) on January 28 reiterated that sustained competition in the market would lead to more affordable energy prices for Nigerians. Saidu Mohammed, the NMDPRA’s Chief Executive Officer, emphasized that the removal of petrol subsidies has allowed market forces to enhance efficiency in the sector. “Sustained competition, rather than subsidies, will guarantee adequate supply of petrol and gas at affordable prices for Nigerians,” Mohammed stated.

However, this latest price adjustment appears to contradict the regulator’s optimism, as fuel costs continue to fluctuate amid global oil dynamics and local refining challenges. Experts note that while the Dangote Refinery’s operations were expected to stabilize prices, logistical issues and crude supply constraints have contributed to ongoing volatility.

The Federal Government has maintained that the subsidy removal, implemented in May 2023, is essential for long-term economic sustainability, freeing up resources for infrastructure and social programs. Yet, with petrol prices now approaching ₦850 in some areas, calls for intervention from labour unions and civil society groups are growing louder.

NNPC has not issued an official statement on the price change, but sources within the company confirmed the adjustment is in response to market realities. As Nigeria’s energy landscape evolves, stakeholders are watching closely to see if increased local refining capacity will eventually bring relief to consumers.