The recent developments in Nigeria's petroleum sector suggest a potential decrease in fuel prices, specifically Premium Motor Spirit (PMS), by the Yuletide season.
This anticipated reduction is largely attributed to actions taken by Dangote Refinery, which recently lowered its ex-depot petrol price by N20, from N990 to N970 per litre. This gesture was made as an appreciation towards Nigerians and is expected to positively impact the overall petrol prices across the country.
According to key industry figures, such as Billy Gillis-Harry, President of the Petroleum Products Retail Outlet Owners Association (PETROAN), and Chinedu Ukadike, spokesperson for the Independent Petroleum Marketers Association of Nigeria (IPMAN), there is optimism about the potential decrease in petrol costs.
Gillis-Harry noted, "It is good that the Dangote Premium Motor Spirit price has come down. This will impact heavily on the price of petrol for Nigerians." He further mentioned that the pump price could reduce further by the Yuletide, contingent on crude oil prices and the Dangote refinery's pricing strategy.
Ukadike also highlighted that the recent price cut by Dangote Refinery means that fuel prices across IPMAN members’ filling stations will drop between N15 and N20, depending on the location.
He stated, "Before, the price of petrol at IPMAN members retail outlets went for N1200 and N1300, but it has dropped to between N1100 and N1150 per litre." He added that the cheapest petrol price Nigerians should expect by December 2024 should be between N900 and N1000 per litre.
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