Fuel Prices Surge Across Nigeria as Dangote Refinery Hikes Costs
Petrol prices have experienced a sharp increase in various parts of Nigeria, with pump prices rising significantly in key cities. In Awka, the capital of Anambra state, prices have climbed to between N950 and N970 per litre, while in Uyo, the capital of Akwa Ibom state, petrol is now selling for about N1,000 per litre.
Marketers Attribute Increase to Supply Cost Hikes
According to industry insiders, the price surge is primarily driven by a hike in supply costs rather than arbitrary decisions by marketers. Chinedu Anyaso, chairman of the Independent Petroleum Marketers Association of Nigeria (IPMAN) for the Enugu Zone, which oversees Anambra, Ebonyi, and Enugu states, explained that the adjustment followed a price increase by the Dangote Petroleum Refinery.
Anyaso stated that Dangote Refinery added approximately N110 to every litre supplied to marketers, making it the major supplier in the region. He emphasized that this hike reflects the current reality of supply costs and is not artificial. Furthermore, he warned that if geopolitical tensions in the Middle East escalate, petrol prices could rise further due to potential disruptions in crude oil production and global oil pricing.
Impact on Consumers and Transport
A survey conducted in Awka on Thursday, March 5, revealed that petrol, which previously sold between N840 and N850 per litre until late February, has now increased across filling stations in the city and surrounding areas. Despite this sharp rise, commercial transport operators have only slightly adjusted fares, adding about N100 to N200 depending on the distance traveled.
In Uyo, checks indicated that many filling stations remained closed during the day, with only a few opening at night to sell petrol. A motorist along Aka Etinan Road in Uyo reported difficulties in finding petrol, stating that there was no product available in the morning.
NNPC Adjusts Pump Prices Nationwide
The Nigerian National Petroleum Company (NNPC) Limited has also raised petrol prices at its retail outlets across the country. In Abuja, a market survey showed that NNPC increased its pump price from N875 per litre on Monday to N960 per litre. Similarly, in Lagos, petrol prices rose from N837 to N932 per litre. These adjustments follow the broader trend of increasing fuel costs driven by supply chain factors.
This situation highlights the ongoing challenges in Nigeria's energy sector, with consumers facing higher costs for essential fuels. The interplay between refinery pricing, geopolitical factors, and market dynamics continues to shape the economic landscape, affecting daily life and transportation across the nation.
