Nigeria’s fuel market is set to have an even sharper increase in price as global crude oil prices continue to surge, now close to $120 per barrel.
The Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) has warned that petrol could rise to ₦2,000 per litre and diesel to ₦3,000 per litre if Middle East tensions persist.
PETROAN National President Billy Gillis-Harry issued the warning on Monday. He said escalating conflicts involving Israel, Iran, and the United States have disrupted global supply chains.
Drone and missile attacks have raised risks to oil infrastructure and shipping routes, pushing crude prices higher.
He explained, “PMS could rise close to ₦2,000 per litre while AGO may approach ₦3,000 per litre if the situation persists.”
Local Refining Seen As Urgent
Gillis-Harry urged NNPC Limited’s Group CEO, Bayo Ojulari, to activate Nigeria’s domestic refineries. He called for immediate production at the Port Harcourt and Warri refineries. He said local refining would reduce Nigeria’s exposure to international market volatility.
He warned that rising fuel prices could worsen inflation, increase transportation costs, and deepen economic hardship.
He added, “Further increases in petrol and diesel prices would worsen inflation, cause job losses, deepen economic hardship, increase transportation costs, and raise the prices of goods and services nationwide.”
Petrol remains essential for daily mobility, while diesel powers industries and manufacturing. Any sharp rise in prices will ripple through the economy, affecting logistics and consumer costs.
Meanwhile, Brent crude prices climbed to $113 per barrel, rising more than 45% in five days. Pump prices in Abuja and nearby areas reached between ₦1,020 and ₦1,071 per litre over the weekend.
Energy experts warn that if crude prices approach $120 per barrel, Nigerians could face even higher fuel costs.
Adding to the pressure, the Dangote Petroleum Refinery raised its ex-depot price of petrol to ₦1,175 per litre on Monday.
This was its third increase in seven days, up from ₦995 per litre announced on Friday. Diesel prices also rose to ₦1,620 per litre.
Industry operators say the hikes reflect rising landing costs for imported petrol and higher ex-depot prices.
The developments clearly indicate Nigeria’s paradox as Africa’s largest crude producer, which still relies heavily on imported refined products.
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