The Nigerian National Petroleum Company Limited (NNPCL) has announced another reduction in the pump price of Premium Motor Spirit (PMS), popularly known as petrol across all its retail outlets.
This marks the second downward review in less than two weeks as competition continues to reshape Nigeria’s downstream petroleum sector.
A market survey conducted on Sunday showed that NNPCL retail outlets showed that the pump price of petrol has been reduced from N1,210 per litre to N1,150 per litre, representing a N60 reduction for motorists purchasing the product at the company’s filling stations.
The latest adjustment comes amid a series of price cuts by major players in the petroleum industry, with consumers beginning to experience some relief after months of fluctuating fuel prices that climbed to the north of N1,350 per litre.
Dangote Refinery continues to influence market
NNPCL’s latest decision comes just days after Dangote Refinery announced another reduction in its ex-depot, or gantry, price of petrol.
The privately-owned refinery lowered its gantry price to N1,075 per litre, marking the fourth reduction in its wholesale petrol price within a relatively short period.
Industry stakeholders say Dangote Refinery’s pricing strategy has continued to influence the downstream market, compelling other suppliers and marketers to review their own prices in order to remain competitive.
The growing rivalry between suppliers is increasingly creating a more competitive fuel market, with consumers emerging as the major beneficiaries.
Independent marketers also reduce prices
The downward trend is not limited to NNPCL alone, as several independent petroleum marketers have also adjusted their retail prices.
Earlier reports showed that NIPCO, AA Rano and Ranoil reduced their pump prices to between N1,205 and N1,240 per litre.
The adjustments reflect the broader response by marketers to declining wholesale prices and increased competition within the deregulated downstream petroleum sector.
Additional filling stations could announce similar reductions in the coming days if supply conditions remain stable and wholesale prices continue to decline.
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