On Friday, Dangote Refinery raised its ex-depot petrol price by ₦55 per litre, moving from ₦825 to ₦880. This change prompted filling stations across Lagos to adjust pump prices swiftly.
By Saturday morning, some outlets resumed sales at around ₦910 per litre—₦40 above the new depot price. Retailers, including NNPC, MRS, Ardova, and Heyden all implemented increases.
Traders say, though, that even at ₦880, Dangote still offered the lowest depot price, compared to Aiteo’s ₦893, Ever’s ₦920, Bovas’s ₦910, Rainoil’s ₦920, and WOSBAB’s ₦920.
At the depot level, prices rose due to global crude market movements and operational pressures. A recent surge in Brent crude above $75 per barrel—linked to Middle Eastern war—drove price adjustments.
Multiple depot operators reacted: Dangote raised its rate, Menj increased to ₦850, Rainoil to ₦850, and depot prices across the country moved up by ₦16–₦18 per litre.
These cost hikes reflect the refinery’s growing reliance on imported US crude and rising naira exchange rates.
Impact on Consumers and the Market
The price bump drew quick response from filling stations, hurting consumers as pump prices surged above ₦900 per litre.
Some Nigerians expressed frustration on social media over the sudden spike. Analysts caution that without competitive pressure at the depot level—especially from Dangote—marketers may continue passing these costs on to customers.
Dangote’s refinery has not only reset pricing norms but also prompted a downstream price war. It slashed ex-depot prices twice in recent months to stimulate competition, fueling a shift to market-driven pricing.
Its reductions forced NNPC to follow, bringing pump prices down to about ₦860–₦865—closer to global cost levels.
While global disruptions may eventually ease petrol prices, Nigeria continues to feel ripple effects from currency pressures and logistics. It is expected that sustained depot-level competition and Dangote’s production strength may help keep prices from skyrocketing further.
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