Nigerians may soon face higher transport fares and increased prices of goods and services as rising fuel prices continue to put pressure on transportation and operating costs across the country.
According to Ripples Nigeria News The development follows a fresh surge in global crude oil prices, with Brent crude rising above $100 per barrel and the United States benchmark West Texas Intermediate, WTI, reaching $92.71 per barrel amid renewed tensions in the Middle East.
The increase has triggered fresh adjustments in ex depot and pump prices of Premium Motor Spirit, PMS, in different parts of Nigeria. Fresh loading data obtained from petroleum marketers showed that several depots in Lagos, Warri and Calabar have raised their prices.
In Lagos, A.A. Rano increased its ex depot price from N1,275 to N1,279 per litre, while African Terminal, Ascon, Gulf Treasure, Integrated and T.Time raised their prices to N1,275 per litre. EMADEB, however, reduced its price from N1,278 to N1,274 per litre.
Dangote Refinery also resumed gantry loading of PMS in naira after a week long suspension, raising its ex depot price from N1,075 to N1,215 per litre, representing a 13.02 per cent increase.
The refinery had suspended gantry and coastal loading on July 15 after introducing a dollar denominated pricing template for refined petroleum products, citing challenges in accessing sufficient crude oil under the Federal Government’s naira for crude arrangement.
The latest adjustments have pushed petrol pump prices to between N1,260 and N1,400 per litre in several parts of the country, prompting transport operators to review fares on some routes.
In the Federal Capital Territory, commuters have expressed concern that rising transportation costs are consuming a larger share of their incomes, while commercial drivers said the higher cost of fuel had left them with little choice but to adjust fares.
Transport operators in Lagos have also begun increasing fares on some routes, although competition among commercial bus operators has limited widespread fare increases.
In Ilorin, major marketers raised pump prices to between N1,255 and N1,305 per litre, while petrol sold for about N1,350 per litre in Kaduna and between N1,360 and N1,370 in Adamawa State.
In Maiduguri, independent filling stations dispensed petrol between N1,370 and N1,390 per litre, while transport fare from Maiduguri to Kano increased from N20,000 to N25,000.
However, transport fares remained relatively stable in Ibadan and Kano despite the rising cost of petrol, with operators saying they were monitoring the situation before taking further decisions.
The expected increase in transport fares could further raise the cost of goods and services, as higher logistics and transportation expenses are often passed on to consumers.
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