NNPCL Joins Dangote, Drops Petrol Price to 889 Per Litre

The Nigerian National Petroleum Company Limited (NNPCL) has announced a reduction in the ex-depot price of Premium Motor Spirit (PMS), popularly known as petrol, from ₦1,020 to ₦899 per litre.

This decision follows closely on the heels of Dangote Refinery’s recent price adjustment to ₦899 per litre. According to a statement signed by Dr. Joseph Obele, the National Public Relations Officer of the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), the pricing change is part of a regional scheme outlined by NNPCL’s Commercial Department.

The document reveals that marketers purchasing from depots in Warri, Oghara, Port Harcourt, and Calabar will pay ₦970 per litre for offtake.

In the statement, it was noted,

“The Nigerian National Petroleum Company Limited has taken a significant step in response to the competitive impact of deregulation in the downstream sector. The company recently reduced the ex-depot price of Premium Motor Spirit from ₦1,020 to ₦899 per litre.”

The reduction, described as a direct reaction to increased competition brought about by deregulation, is expected to spur further competitive pricing in the sector, ultimately benefiting consumers.

Dr. Obele expressed optimism that PMS prices could decline further before the end of January 2025, citing global reductions in crude oil prices and the strengthening of the naira against the dollar.

“This price reduction highlights the advantages of a competitive market,”

Obele stated, advocating for the privatization of government-owned refineries to sustain the benefits of deregulation. He also referred to the current situation as a “price war” among oil marketers.

Reacting to the development, Billy Harry, the National President of PETROAN, commended the price reduction and described it as timely relief for Nigerians, particularly during the holiday season.

“The reduction in PMS price by NNPCL is a demonstration of the company’s commitment to making petroleum products more affordable for Nigerians. We commend NNPCL for responding to our call for affordable PMS prices,” he said.