Many filling stations, particularly those operated by independent marketers, are currently selling Premium Motor Spirit, commonly known as petrol, at prices exceeding the price bands set by the Federal Government.
According to The PUNCH, in some cases, filling stations in the Northern regions are selling petrol as high as N685 per litre.
This surge in petrol prices comes after a July increase, when the pump price of petrol rose from the range of N537 to N550 per litre to N617 per litre at Nigerian National Petroleum Company Limited stations in Abuja and several Northern states.
In Lagos and other South-West states, the price of PMS increased from around N488 to N500 per litre to approximately N580 per litre. In the South-South, the price escalated from N515 per litre to about N600 per litre.
During the July price adjustment, oil marketers clarified that any shift in price at NNPCL stations indicated an approved rise in the pump price of PMS by the Federal Government. This is because NNPCL, being a national oil company, also serves as a major importer of petrol.
Recall that NNPCL has become the exclusive importer of petrol into Nigeria, as other marketers have ceased importing the commodity due to challenges in accessing the necessary United States dollars required for fuel imports.
“The price of petrol at NNPCL stations is believed to be the approved price by the government. So once the NNPCL raises its price, every other marketer adjusts his own,” the Secretary of the Independent Petroleum Marketers Association of Nigeria, Abuja-Suleja, Mohammed Shuaibu, stated.
On May 29, during his inaugural address, President Bola Tinubu, announced the end of petrol subsidy.
This decision resulted in a substantial price increase, with the cost of the commodity soaring from N198 per litre to over N500 per litre on May 30, 2023.
However, rather than adhering to the prescribed petrol prices around N580 per litre in the South and N617 per litre in the North, there have been reports of petrol being sold at significantly higher rates.
This discrepancy is particularly noticeable in some Northern states like Sokoto and Taraba, where the commodity is being sold for as high as N685 per litre.
In the nation’s capital, Abuja, independent dealers have raised their pump prices to levels reaching N630 per litre. Additionally, black market vendors, peddling petrol in jerrycans, are demanding approximately N850 per litre.
At the Aso Energy Resources Station in Kubwa Phase 2, petrol was observed to be dispensed at N630 per litre, which exceeds the approved rate of N617 per litre. Similarly, A.A Rano filling station at Jabi Garage in Abuja was selling PMS at N625 per litre. On the other hand, NNPCL filling stations at Wuse Zone 6 and Garki Area 10 adhered to the established pump price of N617 per litre.
The Public Relations Officer, IPMAN, Chief Chinedu Ukadike, explained that the high cost of petrol at independent retail outlets was due to the exorbitant cost of diesel.
“We spend over N2m to transport PMS from the South to the Northern part of Nigeria and who is to pay for that cost? Diesel is now more than N1,000/litre and it is a critical component for transporting petrol,” he stated.
