The landing cost of imported petrol in Nigeria has dropped slightly, offering a small reduction in the cost of bringing the product into the country. However, motorists in some major cities are still paying significantly more at filling stations.
The landing cost of Premium Motor Spirit (PMS), commonly known as petrol, fell to ₦1,283.81 per litre from ₦1,292.88, according to the latest energy bulletin released by the Major Energies Marketers Association of Nigeria (MEMAN).
The reduction came despite a slight increase in the price of Brent crude oil, which rose to $108.90 per barrel from $108.80 per barrel, based on figures in the report.
MEMAN’s latest figures show that imported petrol’s landing cost is now ₦66.19 per litre, or approximately 4.90 per cent, below the ₦1,350-per-litre gantry price of Dangote Refinery.
The imported product is also cheaper than the ex-depot prices quoted by some depot owners. The landing cost is between ₦64.19 and ₦74.19 per litre below depot prices ranging from ₦1,348 to ₦1,358 per litre.
Despite the decline, petrol prices remain high for consumers. Motorists in Lagos and Abuja are reportedly paying between ₦1,370 and ₦1,429 per litre at filling stations.
The difference between the landing cost and the pump price reflects additional expenses and profit margins across the distribution chain, including transportation, storage and retail operations.
FG’s Proposed Petrol Discount Yet to Begin
The latest development comes as Nigerians await the Federal Government’s proposed 30-day petrol discount at NNPC Limited filling stations.
On October 8, the Minister of Finance, Taiwo Oyedele, proposed selling petrol at ₦1,350 per litre at NNPC outlets under the planned discount initiative.
However, the proposed price reduction had not been implemented at NNPC Limited filling stations as of the time of reporting.
With imported petrol’s landing cost edging lower while pump prices remain elevated, motorists will be watching to see whether the proposed government initiative eventually translates into relief at the pumps.
