Fuel consumers across Nigeria are grappling with another hike in petrol prices as the Nigerian National Petroleum Company Limited (NNPCL) and major marketers adjust pump rates in response to market dynamics.

In the Federal Capital Territory (FCT), NNPC outlets increased the price of Premium Motor Spirit (PMS), commonly known as petrol, from ₦965 to ₦990 per litre, while in Lagos, the price jumped from ₦925 to ₦960 per litre.

The hike comes amidst a slight dip in global crude oil prices, with Brent crude futures trading at $79.98 per barrel on Monday, down from $81 last Friday. Despite this, local fuel prices have continued to climb, reflecting ongoing adjustments in Nigeria’s deregulated petroleum market.

Price Surge Across Major Cities
Checks by correspondents revealed widespread price increases across Abuja, Lagos, and Ogun State. In Abuja, petrol prices at filling stations ranged between ₦990 and ₦1,030 per litre, with major marketers such as AYM Shafa, Shema, and Matrix adjusting their rates to align with market trends.

In Lagos, NNPC stations began selling PMS at ₦960 per litre by Tuesday afternoon, while independent marketers sold between ₦960 and ₦1,000 per litre. Along the Lagos-Ibadan Expressway, prices at stations like TotalEnergies, Matrix, and Petrocam ranged from ₦980 to ₦1,000 per litre.

Impact of Dangote Refinery Operations
The commencement of loading operations at the Dangote Refinery has also influenced recent price adjustments. The refinery increased its ex-depot price of PMS from ₦899 to ₦955 per litre, prompting depot owners and filling stations to raise retail prices accordingly. In Akwa Ibom, pump prices have reportedly hit ₦1,100 per litre.

Expert Reactions and Market Realities
Oil and gas expert Olatide Jeremiah described the changes as a reflection of market forces in a fully deregulated sector. “This hike is temporary and part of the transition to deregulation, which is a long-term solution to fuel scarcity and price instability,” he said.

Meanwhile, a tricycle rider in Lagos lamented the increase, noting that queues initially formed at stations where prices had not yet been adjusted but quickly disappeared as prices were raised.

Global Context and Future Outlook
The hike coincides with international developments, including sanctions on Russian oil by the previous U.S. administration and fluctuating crude prices. While Brent crude prices briefly dipped, they rose marginally to $80.05 per barrel following recent geopolitical events.

As Nigeria continues to navigate its deregulated petroleum landscape, experts anticipate further fluctuations in pump prices, tied closely to global oil markets and domestic supply chain developments.

Stay tuned for updates as the nation adjusts to these evolving market dynamics.