Fuel price soars to N1,230 per litre amid Dangote's greenback exchange and escalating Iran tensions

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Fuel prices have continued to rise across filling stations nationwide following the decision by the Dangote Petroleum Refinery to sell petrol to marketers in dollars, Sunday PUNCH reports.

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The increase has also been driven by the surge in global crude oil prices triggered by the renewed tensions between the United States and Iran.

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The development comes as the Petroleum Products Retail Outlets Owners Association of Nigeria warned against monopoly and arbitrary petrol pricing, saying such practices could undermine efforts to stabilise the country’s downstream petroleum sector and the economy.

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Speaking with Sunday PUNCH, the National President of PETROAN, Dr Billy Gillis-Harry, said fuel prices should not be dictated by the actions of a single market player, stressing that the industry requires a more stable and competitive pricing framework.

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“We have always said that arbitrary fixing of prices is not what will stabilise Nigeria or the Nigerian economy. We don’t think a situation where, anytime one player sneezes, all of us catch cold is in the best interest of Nigeria,” he said.

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Gillis-Harry assured Nigerians that PETROAN members would continue to make the necessary sacrifices to ensure the availability of petroleum products at affordable prices.

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‘Delayed loading at Dangote refinery’

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On Friday, some marketers told our correspondent that petrol loading at the Dangote refinery had been delayed since Wednesday, a claim the Dangote Group denied.

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The National Vice-President of the Independent Petroleum Marketers Association of Nigeria, Hammed Fashola, confirmed the development to one of our correspondents but expressed optimism that loading could resume on Friday.

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Asked whether it was true that the refinery had stopped loading marketers, Fashola replied, “That’s correct. Maybe loading will resume today (Friday).”

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However, a spokesman for the Dangote Group dismissed the report as “fake news”, accusing some marketers of spreading false information.

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The spokesman told Sunday PUNCH that the refinery had not stopped loading petroleum products.

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“The refinery is loading. Anybody can come there to check. That’s fake news to say we are not loading,” he said.

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He noted that marketers importing petrol were finding it difficult to compete because prices in Lomé, Togo, had risen, making it increasingly difficult to match Dangote’s prices.

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Our correspondent gathered that many marketers were struggling to source dollars to purchase petrol from the Dangote refinery, while importers continued to increase prices.

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High depot prices

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Meanwhile, petrol loading prices at private depots remained elevated on Friday, with marketers paying between N1,185 and N1,245 per litre across major depots nationwide amid continued uncertainty in the downstream petroleum market.

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Latest depot price data obtained from Petroleumprice.ng showed that Matrix Depot in Port Harcourt sold the product at the highest price of N1,245 per litre, while Masters Depot sold at N1,240 per litre. Liquid Bulk and Sigmund depots both offered petrol at N1,230 per litre.

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In Lagos, depot prices ranged from N1,185 to N1,225 per litre. Honeywell recorded the lowest price at N1,185 per litre, while Emadeb sold at N1,225 per litre.

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Other Lagos depots, including Aiteo, Ardova, Lister, Nipco and Pinnacle, sold petrol at N1,200 per litre.

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In Warri, A.Y.M Shafa and Matrix sold at N1,230 per litre, while Optima offered the product at N1,220 per litre.

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Parker sold at N1,200 per litre, while Prudent quoted N1,215 per litre.

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Similarly, in Calabar, Sobaz sold petrol at N1,210 per litre, while Northwest, Mainland and Fynfield offered the product at N1,230 per litre. Jenny Depot sold at N1,200 per litre.

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The latest pricing indicates that depot owners have largely maintained high loading prices across the country.

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Industry analysts said the variation in depot prices reflects differences in supply sources, logistics costs and inventory positions, with marketers continuing to monitor pricing decisions by major suppliers before making fresh purchases.

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The development comes as fuel marketers continue to adjust to changing market dynamics following recent pricing decisions by the major refiner, with retail pump prices expected to reflect prevailing depot rates after accounting for transportation, distribution and operating costs.

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Petrol returns to N1,200

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Petrol prices have also risen in major cities, including the Federal Capital Territory, Port Harcourt, Kaduna, Enugu, Ondo and Edo states, with motorists paying as much as N1,200 per litre at some filling stations.

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A survey conducted by Sunday PUNCH across major filling stations in the FCT on Friday showed that while petrol remained largely available, pump prices varied widely, ranging from N1,118 to N1,200 per litre, with only one filling station temporarily suspending sales.

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The development comes days after marketers and energy experts warned that the refinery’s new dollar-denominated pricing template could trigger another round of petrol price increases, particularly for independent marketers sourcing products from the refinery.

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Although it could not be immediately confirmed whether the Dangote refinery had begun receiving dollar payments under the new arrangement, marketers have already started adjusting ex-depot and retail prices in anticipation of higher replacement costs.

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The refinery’s decision generated widespread concern among petroleum marketers, transport operators and consumers, many of whom fear that pricing petrol in dollars could expose the domestic market more directly to foreign exchange volatility and further increase the cost of transportation and goods.

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During the survey, one of our correspondents observed that the Nigerian National Petroleum Company Limited retail outlet at Wuse Zone 2 sold petrol at N1,118 per litre, making it one of the cheapest stations visited.

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At TotalEnergies along the Kubwa Expressway, motorists bought petrol at N1,119 per litre, with steady queues of customers as attendants dispensed fuel without disruption.

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The AYM Shafa filling station located along Airport Road sold petrol at N1,180 per litre. Unlike the other stations surveyed, AYM Shafa was not situated along the Kubwa Expressway.

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Similarly, Bovas filling station in Wuse dispensed petrol at N1,180 per litre, with normal business activities and adequate product availability.

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Further along the Kubwa Expressway, Sunset Energy sold petrol at N1,200 per litre, one of the highest prices recorded during the survey.

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Mainland filling stations also dispensed petrol at N1,200 per litre, reflecting the upward adjustment already being implemented by some independent marketers.

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However, the MRS filling station along the Kubwa Expressway was not selling petrol as of the time of the visit.

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The reason for the suspension of sales could not be immediately confirmed, as attendants declined to comment.

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Despite the increase in pump prices, there were no signs of panic buying at the stations visited, as queues remained orderly and most outlets had products available for customers.

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In Kaduna, the pump price rose on Friday from N1,200 to N1,230 per litre.

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A survey by our correspondent showed that Edi-Jen Filling Station along Narayi High Cost Road, as well as A.A. Rano, Rainoil and Future View filling stations in Barnawa, were dispensing petrol at the new price.

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However, the NNPC Mega Station on the same road sold the product at N1,168 per litre.

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In Enugu metropolis, marketers continued dispensing petrol despite a fresh price hike, with pump prices ranging from N1,100 to N1,220 per litre.

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A visit by our correspondent to some petrol stations showed that all the major filling stations surveyed were dispensing fuel.

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At New Haven, NIPCO sold petrol at N1,180 per litre, Pinnacle Oil at N1,200, and Tetris Energy at N1,180.

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However, short queues resurfaced at some filling stations in Port Harcourt as petrol sold for N1,200 per litre.

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At the Eterna filling station along Ikwerre Road in Rumuigbo, attendants were seen on Friday dispensing petrol at N1,200 per litre.

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In Ondo State, petrol sold for between N1,110 and N1,125 per litre at filling stations.

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However, despite the variations in pump prices, no queues were observed in any part of Akure, the state capital.

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It was gathered that the same situation prevailed in other parts of the state.

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In Ilorin, the Kwara State capital, petrol sold for between N1,100 and slightly above N1,150 per litre at many filling stations.

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A survey by Sunday PUNCH across major parts of the metropolis on Friday showed that while a number of filling stations remained shut, a larger percentage were open and dispensing fuel to motorists and other consumers.

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Areas visited during the survey included Alagbado, Post Office, Unity, Tanke, Taiwo and Oja-Oba, where commercial transport operators and private vehicle owners were seen purchasing fuel without significant delays.

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Speaking with Sunday PUNCH, a commercial motorcyclist, Lukman Adisa, described the persistent high petrol prices as a major challenge for operators in the transport sector.

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“I wonder why the price refuses to come down. Can you believe we once bought a litre of fuel for as high as N1,300? Even at the current price, I hardly make any meaningful profit at the end of the day because a large part of my income goes into buying fuel,” he said.

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Another commercial tricycle operator, who identified himself simply as Sulaiman, said the high pump price had forced many transporters to adjust their fares to remain in business.

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“The cost of running a tricycle has increased significantly. We spend more on fuel every day, and if transport fares are not adjusted, it becomes difficult to meet our daily expenses and still make a profit,” he said.

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In Benin, Edo State, petrol sold for between N1,140 and N1,200 per litre.

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At the NNPCL filling station on Sapele Road, a litre sold for N1,140, while MRS sold at N1,171.

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In Sokoto State, residents have begun noticing the return of short queues at some filling stations across the metropolis, although the situation is not widespread and the pump price of Premium Motor Spirit (petrol) has remained unchanged.

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Speaking with Sunday PUNCH, a motorist, Abubakar Ibrahim, said he bought petrol at an A.A. Rano filling station at N1,230 per litre.

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“I bought fuel at A.A. Rano for N1,230 per litre. The queues are not much, but some filling stations are not selling, so motorists are moving to the stations that have fuel,” he said.

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