The Nigerian National Petroleum Company Limited (NNPCL) has announced a significant reduction in the ex-depot price of Premium Motor Spirit (PMS), popularly known as petrol, from ₦1,020 to ₦899 per litre.
This decision comes just days after the Dangote Refinery set its ex-depot price at ₦899 per litre, signaling heightened competition in the downstream petroleum sector. The announcement was confirmed by the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) in a statement released on Saturday.
The statement, signed by PETROAN’s National Public Relations Officer, Dr. Joseph Obele, cited a document from NNPCL’s Commercial Department detailing the price adjustment. It noted that the revised pricing is based on a regional scheme, with marketers in Warri, Oghara, Port Harcourt, and Calabar still purchasing the product at a slightly higher rate of ₦970 per litre.
Dr. Obele stated, “The Nigerian National Petroleum Company Limited has taken a significant step in response to the competitive impact of deregulation in the downstream sector. The reduction in the ex-depot price from ₦1,020 to ₦899 per litre highlights the increasing competition within the sector.”
This move is expected to intensify price competition among oil marketers, potentially leading to further reductions in petrol prices, which would be a welcome relief for consumers.
Industry stakeholders have applauded the decision, noting that deregulation is fostering market-driven pricing, which may lead to more affordable fuel for Nigerians.
As the downstream sector adapts to deregulation, experts predict that this price adjustment could be the first of many, with consumers ultimately benefiting from the evolving market dynamics.
Further updates are expected as the situation unfolds.
