Petrol pump prices have surged to between N1,050 and N1,150 per liter, following a hike in the cost of the commodity by the Dangote Petroleum Refinery and various depot owners. This development has sparked widespread concerns among Nigerians, who are already grappling with the economic challenges of the country.
According to report, The Dangote refinery increased its price for Premium Motor Spirit (PMS) from N899.50 to N955 per liter at its loading gantry. This adjustment has had a ripple effect on the downstream petroleum sector, with private depots and retail markets increasing their prices.
Marketers have projected that the retail cost of petrol could rise to N1,100 per liter in Lagos and neighboring states, while customers in the Federal Capital Territory may pay as much as N1,150 per liter. The Petroleum Products Retail Outlet Owners Association of Nigeria has stated that retailers cannot sell petrol at a loss, and therefore, the price increase is inevitable.
The National President of the Petroleum and Natural Gas Senior Staff Association of Nigeria, Festus Osifo, has attributed the price hike to the increase in the cost of crude oil. He noted that the price of crude oil rose to $80 per barrel, which has resulted in a corresponding increase in the price of PMS.
The development has sparked mixed reactions among Nigerians. While some have expressed outrage over the price hike, others have argued that the increase is a reflection of the deregulation of the petroleum sector.
In a statement, the Dangote refinery explained that the price adjustment was necessary due to the increase in the cost of production. The refinery noted that the new price regime took effect from 5:30 pm on Friday.
As the controversy over the price hike continues to unfold, Nigerians are bracing themselves for the impact of the increase on their daily lives. With the economy already under strain, the surge in petrol prices is expected to have far-reaching consequences for households and businesses across the country.
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