By Benson Daniel
Dangote Petroleum Refinery has resumed the sale of Premium Motor Spirit (PMS), commonly known as petrol, in naira after suspending local currency transactions for about a week, bringing relief to marketers and easing concerns over fuel supply in Nigeria’s downstream petroleum sector.
The refinery also announced a new ex depot price of N1,215 per litre, up from the previous N1,075 per litre, representing an increase of N140 per litre, or about 13 per cent. The revised pricing takes immediate effect for marketers lifting products from the refinery’s gantry.
The return to naira sales follows the refinery’s temporary adoption of a dollar denominated payment system, a move that had generated uncertainty among independent marketers and increased pressure on fuel distribution across the country. Many operators had complained that sourcing foreign exchange to purchase petrol made business more difficult and contributed to higher depot prices.
Industry observers said the refinery’s decision to revert to naira transactions is expected to improve accessibility for local marketers and reduce pressure on foreign exchange demand. However, the increase in the ex depot price suggests that motorists may still face higher pump prices in the coming days as retailers adjust to the new cost structure.
During the period when dollar pricing was in place, private depot owners raised petrol prices sharply as supply tightened. Some depots reportedly sold the product for as much as N1,275 per litre, forcing marketers to absorb higher operating costs or pass them on to consumers.
Despite the latest increase, Dangote Refinery’s revised ex depot price remains slightly below the rates charged by some fuel importers and private depots during the recent market disruption. Industry analysts believe the refinery’s return to naira based sales could help restore stability to the downstream market while supporting a more predictable supply chain.
The development comes at a time of heightened volatility in global crude oil prices and continued efforts by stakeholders to ensure adequate fuel availability across Nigeria. Market participants will be closely monitoring how the latest pricing adjustment affects retail pump prices and overall market competition in the coming days.
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