Nigeria may experience another wave of rising costs of transportation, food, and basic services after the Dangote Petroleum Refinery increased the price of Premium Motor Spirit (petrol) to N1,175 per litre.
The new price applies to the gantry level, which is the rate at which fuel marketers purchase petrol directly from the refinery before distributing it to filling stations nationwide.
Industry sources confirmed that the adjustment was communicated to marketers on Monday, signaling another upward review of petrol prices within a short period.
The latest increase means petrol has risen by N180 from the previous gantry price of N995 per litre that was announced just days earlier. The revision represents an increase of about 18 percent in less than a week.
In addition to petrol, the refinery also adjusted the price of Automotive Gas Oil, commonly known as diesel, which now stands at N1,620 per litre.
An official familiar with the development explained that the price adjustment reflects the current realities of the global energy market and the increasing cost of sourcing crude oil and maintaining refining operations.
According to the source, the petroleum market has been experiencing strong volatility, forcing operators to adjust prices in response to changes in supply costs and international market conditions.
Checks across petroleum industry pricing platforms also confirmed that the new rates have already been reflected in depot pricing systems used by downstream marketers.
The adjustment marks the third increase in petrol prices within a week, as gantry prices previously moved from N774 per litre before rising to N995 per litre.
As a result, retail pump prices in several states have already crossed the N1,000 per litre mark, with some filling stations reportedly selling petrol at about N1,200 per litre.
Economic analysts warn that the development could worsen the financial pressure already facing households and businesses across the country.
Fuel prices play a key role in determining the cost of transportation, logistics, and manufacturing. Any increase in petrol prices often leads to higher prices for goods and services.
The situation comes amid ongoing efforts by the Nigerian National Petroleum Company Limited to ensure a steady supply of crude oil to the Dangote refinery through arrangements with international traders.
However, industry observers say such interventions may not immediately reduce petrol prices for consumers.
The refinery, located in Lekki, is one of the largest single-train refineries in the world and was expected to help stabilise Nigeria’s fuel supply and pricing when it began operations.
Despite this expectation, Nigerians continue to face rising fuel costs, with the latest price adjustment likely to trigger further increases at filling stations across the country.
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