In a significant move for Nigeria's energy market, the Nigerian National Petroleum Company (NNPC) has announced a reduction in the price of Automotive Gas Oil (AGO), commonly known as diesel. This follows closely on the heels of a recent cut in petrol prices, marking a dual relief for consumers and businesses grappling with high fuel costs.
New Diesel Prices in Key States
The price adjustment, effective from January 2026, brings down the cost of diesel in major commercial hubs. In the Federal Capital Territory, Abuja, the new price is now N1,090 per litre, a decrease from the previous N1,102.73. For Lagos State, consumers will now pay N990 per litre, down from N1,010.
This initiative is part of the NNPC's broader strategy to stabilize fuel prices across the country. The state-owned oil company had recently also adjusted petrol prices, setting them at N785 per litre in Lagos and N815 per litre in Abuja at its retail stations.
NBS Report Reveals National Price Trends
The NNPC's action coincides with the latest data from the National Bureau of Statistics (NBS). The NBS Diesel Price Watch report for November 2025 shows that the average retail price of diesel stood at N1,409.61 per litre. This represents a 2.57% year-on-year decline from the N1,446.83 recorded in November 2024.
However, the report noted a slight 0.79% month-on-month increase from October 2025, when the average price was N1,398.57. The data underscores the volatile nature of diesel pricing in the national market.
States with the Highest and Lowest Diesel Rates
The NBS report provided a detailed breakdown of diesel costs across Nigeria's 36 states and the FCT, revealing stark regional disparities.
States with the highest average retail prices for diesel include:
- Niger State: N1,477.57 per litre
- Jigawa State: N1,477.31 per litre
- Enugu State: N1,468.29 per litre
Other states where prices remained significantly above the national average were Kaduna, Plateau, Kano, Akwa Ibom, Cross River, Osun, and Lagos.
Conversely, states with the most affordable diesel rates were:
- Kebbi State: N1,308.94 per litre
- Katsina State: N1,315.78 per litre
- Nasarawa State: N1,325.29 per litre
The Federal Capital Territory (Abuja), alongside Edo, Kwara, Ogun, Oyo, and Ekiti states, also featured among regions with relatively lower prices.
IPMAN's Directive on Dangote Refinery Supply
In a related development, the Independent Petroleum Marketers Association of Nigeria (IPMAN) has issued a directive concerning petrol supplied from the Dangote Petroleum Refinery. The association's National President, Alhaji Abubakar Maigandi, has called on dealers receiving direct supply from the refinery to sell at the approved pump price of N739 per litre.
Maigandi clarified that this directive specifically targets independent marketers who benefit from the refinery's free delivery arrangement, facilitated by a fleet of approximately 4,000 Compressed Natural Gas (CNG)-powered tankers acquired last year.
The consecutive reductions in both petrol and diesel prices by the NNPC are expected to ease operational costs for industries, transporters, and power generators heavily reliant on these fuels, potentially having a positive ripple effect on the broader Nigerian economy.
