The landing cost of Premium Motor Spirit (PMS), or petrol, in Nigeria has decreased to ₦971 per litre for November 2024, marking a 20.23% reduction from ₦1,219 per litre in August.
This drop, as reported by the Major Energy Marketers Association of Nigeria, is attributed to shifts in the Naira-to-dollar exchange rate and global crude oil prices.
Currently, the Naira trades at ₦1,678.87 per dollar, while Brent crude oil is priced at $73.63 per barrel. In contrast, August saw Brent crude at $80.72 per barrel and an exchange rate of ₦1,611 per dollar.
Despite the lower landing cost, pump prices remain elevated, with petrol selling for ₦1,060 to ₦1,200 per litre at various stations, including Nigerian National Petroleum Company Limited outlets. Prices have surged from ₦617 per litre in August to over ₦1,060 in November.
The recently disclosed ex-depot rates from Dangote Refinery are set at ₦960 per litre for ship-transported petrol and ₦990 per litre for truck-delivered fuel.
The Nigeria Labour Congress (NLC) has expressed concern over the high pump prices, which it argues exceed fair market levels, urging a reevaluation of pricing practices to ensure consumer affordability.
