Segun Adeyemi

Facebook

Instagram

Twitter

LinkedIn

<h2>Nigeria’s landing cost of Premium Motor Spirit (PMS), commonly known as petrol, has dropped to ₦971 per litre for November 2024. </h2>

This marks a significant 20.23% decrease from ₦1,219 per litre recorded in August 2024, according to data from the Major Energies Marketers Association of Nigeria.

The decline is attributed to fluctuations in both the Naira-dollar exchange rate and the international price of crude oil.

As of the end of trading on Friday, the Naira stood at ₦1,678.87 to the dollar, with Brent crude priced at $73.63 per barrel.

READ ALSO: <a href="https://www.pulse.ng/news/nigerians-abandon-cars-as-daily-petrol-consumption-drops-by-92/9jnpdfb">Fuel Crisis: Nigerians abandon cars as daily petrol consumption drops by 92%</a>

This contrasts with the rates in August, when crude was priced at $80.72 per barrel, and the Naira exchange rate was ₦1,611 per dollar.

Despite the lower landing cost, petrol remains expensive at the pump in Nigeria. The retail price of petrol ranges from ₦1,060 to ₦1,200 per litre at various stations, including those operated by the Nigerian National Petroleum Company Limited.

READ ALSO: <a href="https://www.pulse.ng/business/domestic/marketers-consider-fuel-import-as-dangote-refinery-reportedly-underdelivers/nrcz5yf">Marketers consider fuel importation as Dangote Refinery allegedly underdelivers</a>

The price of petrol had already surged from ₦617 per litre in August 2024 to over ₦1,060 per litre by November 2024.

The Dangote Refinery has recently announced ex-depot prices of ₦960 and ₦990 per litre for petrol delivered by ships and trucks, respectively.

In a statement, the Nigeria Labour Congress (NLC) expressed concerns that the pump price of petrol in Nigeria continues to exceed market values, raising questions about the fairness of pricing for consumers.

Black market fuel vendors tries to sell fuel to a motorist on Lagos-Ikorodu highway 17 June 2007. [Getty Images]

Nigeria’s landing cost of Premium Motor Spirit (PMS), commonly known as petrol, has dropped to ₦971 per litre for November 2024.

Petrol landing cost falls to ₦971 per litre as local pump Prices remain high

<h2>Dangote Refinery has denied reports alleging it sells petrol between ₦1,015 and ₦1,028 per litre, labelling the claim as "fake news" on Saturday, November 2.</h2>

The refinery’s response follows statements by some oil marketers suggesting Dangote’s petrol pricing is markedly higher than the import cost.

On Friday, members of the Independent Petroleum Marketers Association of Nigeria (IPMAN) hinted that petrol from the refinery is priced over ₦1,000 per litre, making importation more cost-effective.

According to IPMAN's National Assistant Secretary, Yakubu Suleiman, the current landing cost for imported petrol stands at ₦978.01 per litre, below the alleged price set by Dangote.

Suleiman, during an interview on Arise Television, said, “We have to go where the price is lower and where we can make a profit. We must also consider the impact on Nigerians.”

IPMAN's comments reflect a broader concern within the industry about escalating fuel prices and the strain on consumers.

READ ALSO: <a href="https://www.pulse.ng/business/domestic/dangote-refinery-clarifies-price-speculations-about-its-petrol/tgknczn">We've not fixed petrol price - Dangote Refinery dismisses ₦650/litre speculation</a>

In a swift rebuttal on its official X (formerly Twitter) account, Dangote Group categorically dismissed the reports, calling them "fake news."

The company did not, however, provide additional details on its actual pricing strategy or the factors influencing any price adjustments.

The allegation has stirred public discourse, with consumers expressing concern over potential price increases amid ongoing inflation and high energy costs.

<h3>Dangote's Locally Refined Fuel Costs Less, Outperforms Imports – Sources</h3>

Amidst growing tensions between the Dangote refinery and the Nigerian National Petroleum Company Limited (NNPCL), industry insiders reveal Dangote's locally refined Premium Motor Spirit (PMS) is both cheaper and of higher quality than imported alternatives.

While some marketers claim importing PMS is more cost-effective, industry findings and anonymous sources argue otherwise, indicating Dangote's PMS undercuts imported prices by ₦11 per litre.

Yakubu Suleiman, Assistant Secretary of the Independent Petroleum Marketers Association of Nigeria, stated that Dangote's pricing—at ₦995 per litre—leaves marketers questioning its affordability. “Dangote’s price is higher than other places,” he noted.

However, energy experts point to significant cost savings in local production. Importing PMS incurs hefty expenses: freighting a 30kt cargo from Europe costs $650,000 to $800,000, with additional fees from the Nigerian Ports Authority and NIMASA totaling $350,000. Dangote refinery’s domestic production eliminates these charges, enhancing affordability.

A source stressed Dangote's fuel quality, saying it meets global standards, offering lower sulphur content than typical imports.

“NNPCL imports blended PMS with high sulphur content,” the source said, attributing the push for imports to profit motives that burden consumers.

The NNPCL has yet to address these quality concerns publicly, despite the continued preference for imports over Dangote’s refined PMS, which experts argue is a better option for Nigerian consumers.

People queue to buy fuel at a petrol station in Lagos, southwest Nigeria. [Getty Images]

Dangote Refinery has denied reports alleging it sells petrol between ₦1,015 and ₦1,028 per litre, labelling the claim as "fake news" on Saturday, November 2.

Dangote Refinery debunks claims of selling petrol above ₦1,000/litre

Politics

Local

Metro

World

News 

Celebrities

Music

Movies

Entertainment

Fashion

Beauty & Health

Relationships & Weddings

Food & Travel

Lifestyle

Domestic

International 

Business

About

Highlights

Selection Criteria

Jury

Terms And Conditions

FAQs

Pulse Influencer Awards

Sports 

Celebrity Picks

Pulse Picks

Courses

Careers

Pulse Marketing

Explore categories

Petrol

Pulse Nigeria is the most followed news and entertainment platform, informing and engaging young Nigerians round the clock, providing updates by the hour.