Petrol Prices Surge to N935 in Lagos

Lagos Sees Petrol Price Increase to N935

​Petrol prices in Lagos have surged to between N925 and N935 per litre, reflecting a significant increase attributed to several factors affecting the fuel supply chain. This development has raised concerns among residents and businesses already grappling with economic challenges.​

Factors Contributing to the Price Increase:

1. Rising Landing Costs: The landing cost of petrol has escalated due to higher international petroleum prices and increased logistics expenses. For instance, last Monday, the landing cost rose to N843.28 per litre from N797 per litre the previous fortnight, an addition of N46 per litre. ​
2. Dangote Refinery’s Pricing Policy: The Dangote Petroleum Refinery recently ceased selling petrol in naira and adjusted its ex-depot price from N970 to N899.50 per litre. This change, while reducing prices at some outlets like MRS to N935 per litre, has influenced overall market dynamics.
3. Seasonal Supply Constraints: The transition from winter to summer gasoline specifications in Europe, coupled with refinery maintenance and incidents like the Falconara refinery fire in Italy, has tightened supply and contributed to price volatility.

Impact on Consumers:

The price hike has led to increased transportation and operational costs, affecting both individuals and businesses. Commuters face higher fares, and goods and services may see price adjustments to offset increased expenses.​

Industry Response:

The Major Energy Marketers Association of Nigeria (MEMAN) has highlighted the influence of international market dynamics on local fuel prices. They advise that savings can be achieved through negotiations, improved access to foreign exchange, and enhanced logistics efficiencies.