NNPCL Increases Fuel Price for Second Time in Two Days

The Nigerian National Petroleum Company Limited (NNPCL) has increased the pump price of Premium Motor Spirit (PMS), commonly known as petrol, for the second time in less than 48 hours.

A market survey conducted on Wednesday showed that the state-owned oil company raised the retail price of petrol to N1,335 per litre, up from N1,270 per litre introduced on Tuesday. The latest adjustment represents an additional N65 per litre increase.

The new price has already taken effect at several NNPCL retail outlets in Abuja, including filling stations located in Wuse Zone 6 (Berger), Zone 4 and other parts of the Federal Capital Territory.

The latest increase follows Tuesday’s adjustment, when NNPCL raised the pump price by N115 per litre, bringing the price from its previous level to N1,270 per litre.

The repeated price adjustments come amid continued volatility in Nigeria’s downstream petroleum sector, where fuel prices have become increasingly influenced by market forces following the removal of fuel subsidy and the deregulation of the industry.

Industry observers have also linked the latest increase to recent developments involving the Dangote Refinery, which resumed the sale of refined petroleum products in United States dollars. The move has generated concerns over its potential impact on product pricing and foreign exchange demand.

Adding to the pressure, global crude oil prices climbed by nearly four percent on Wednesday as escalating airstrikes in the Middle East heightened fears of possible disruptions to international oil supply.

The combination of rising global crude prices and exchange rate pressures continues to influence the cost of petroleum products in Nigeria, leading marketers to adjust pump prices accordingly.

Motorists and businesses have expressed concern over the latest increase, warning that higher fuel costs could further drive up transportation fares, production expenses and the prices of goods and services across the country.

Economic analysts say the frequent changes in petrol prices reflect the realities of a deregulated market, where domestic fuel prices are increasingly tied to international crude oil prices, foreign exchange movements and supply costs.

NNPCL has yet to issue an official statement explaining the latest adjustment, but industry stakeholders expect fuel prices to remain sensitive to developments in both domestic and global energy markets.