Fuel retailers across Nigeria have declined to lower their pump prices following Dangote Petroleum Refinery's decision to cut its ex-depot price of petrol by N50 per litre, leaving motorists to bear the full cost of the previous rate. The refinery announced the reduction on Thursday, August 6, bringing the price of Premium Motor Spirit down from N1,215 to N1,165 per litre. Dangote also cut its diesel price by N80 per litre, moving it from N1,650 to N1,570.
Retailers Maintain High Prices
Despite the adjustment, checks at filling stations showed that the majority of fuel marketers, both major outlets and independent stations, continued to sell petrol at between N1,240 and N1,260 per litre. Even MRS, which operates as one of Dangote Refinery's key offtakers and strategic partners, had not revised its pump prices as of Thursday.
Motorists Express Frustration
Consumers at filling stations voiced their displeasure over what they described as selective pricing by fuel retailers. A tricycle operator at Ogba Bus Stop in Lagos, Jude Opara, said customers understood that stations needed to factor in their margins, but argued that pump prices should have fallen to around N1,200 per litre given the new ex-depot rate.
A Bolt driver, Shile Giwa, went further, calling on the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and the Federal Competition and Consumer Protection Commission (FCCPC) to step in. Giwa accused marketers of applying a double standard, raising pump prices quickly when their costs increase but dragging their feet when costs fall.
Dangote Defends Price Cut
Dangote Petroleum Refinery said the reduction reflected improved operational efficiency and its commitment to making petroleum products more affordable. The refinery added that it would continue to transfer such savings to consumers whenever market conditions permitted, and framed the move as part of its broader goal of supporting economic activity and reducing Nigeria's dependence on imported fuel.
The latest cut adds to a series of price adjustments the refinery has made since it began supplying the domestic market, as it works to cement its position as the country's primary source of refined petroleum products and strengthen domestic energy security.
Six Depots Crash Petrol Prices to Compete
Legit.ng earlier reported that Nigeria’s downstream petroleum market is heating up as six private depot operators cut their petrol prices, bringing their rates closer to the price offered by the Dangote Refinery. The latest reductions are expected to intensify competition among fuel suppliers and could provide some relief for motorists and businesses if lower depot prices eventually translate into cheaper petrol at filling stations.
The development comes just 48 hours after the 700,000-barrel-per-day Dangote Refinery announced a N50 reduction in the prices of Premium Motor Spirit (PMS), commonly known as petrol, and Automotive Gas Oil (AGO), or diesel.
