Breaking: Like Dangote, NNPCL slashes petrol price

The Nigerian National Petroleum Company Limited (NNPCL) has announced a reduction in its ex-depot price of Premium Motor Spirit (PMS), commonly known as petrol, from N1,020 to N899 per litre.

The move, which aligns NNPCL’s pricing with the recent reduction by Dangote Refinery, was confirmed on Saturday by the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN).

In a statement signed by PETROAN’s National Public Relations Officer, Dr. Joseph Obele, and referencing a document from NNPCL’s Commercial Department, the price adjustment is part of a regional pricing scheme.

While marketers sourcing products from major depots like Lagos and Abuja will now pay N899 per litre, those lifting from depots in Warri, Oghara, Port Harcourt, and Calabar will pay slightly higher at N970 per litre.

“The Nigerian National Petroleum Company Limited has taken a significant step in response to the competitive impact of deregulation in the downstream sector,” the statement read.

It added that the reduction reflects increased competition in the downstream sector following the deregulation of the petroleum market.

According to Dr. Obele, the price adjustment is expected to trigger a competitive response from other marketers, leading to potential price wars in the sector. This development is anticipated to benefit consumers, who may see lower pump prices in the coming weeks.

Industry analysts view this move as a strategic response by NNPCL to maintain its market position amid growing competition, particularly from private refiners like Dangote Refinery. The reduction could reshape pricing dynamics and influence market trends in Nigeria’s downstream petroleum sector.

NNPCL’s decision is seen as a key indicator of the evolving landscape of Nigeria’s deregulated oil market, with consumers potentially emerging as the ultimate winners of this competitive shift.