Dangote Refinery Reduces Petrol Price by N30

The Dangote Petroleum Refinery has announced a reduction in the pump price of Premium Motor Spirit (PMS), cutting it by N30 per litre in a move aimed at easing the financial burden on Nigerians and supporting economic stability. The new price adjustment, which took effect immediately after the announcement, has been widely welcomed by fuel marketers, transport operators, and consumers.

According to a statement from the refinery’s management, the decision was informed by recent operational efficiencies, cost optimisation measures, and the company’s commitment to delivering affordable energy to Nigerians. The management explained that improved crude oil supply arrangements and enhanced refining processes had allowed for a reduction in production costs, making it possible to pass the savings on to consumers.

The N30 reduction comes at a time when many Nigerians are grappling with rising living costs due to inflation and high transportation expenses. Fuel is a major driver of economic activity, and any change in its price directly affects goods and services across the country. Economists predict that the price cut will have a ripple effect, potentially lowering transportation fares and the cost of essential commodities in the coming weeks.

The Dangote Refinery, which commenced operations earlier this year, has been positioned as a game-changer in Nigeria’s downstream petroleum sector. With a capacity to refine 650,000 barrels of crude oil per day, the facility is expected to meet domestic fuel demand and significantly reduce the country’s reliance on imported petroleum products. Industry experts note that price adjustments like this could signal a more competitive and self-reliant market in the long run.

Fuel marketers in Lagos and other major cities reported that they were already adjusting their pump prices to reflect the new directive from Dangote Refinery. Some filling stations have also confirmed increased customer traffic following the announcement. However, marketers in more remote areas cautioned that distribution costs might still influence final prices at the pump, particularly in regions far from major supply depots.

Transport unions have expressed optimism that the price cut will allow them to reduce fares for commuters, though they emphasised that this will depend on how quickly the new prices are implemented nationwide. “If the new price is consistently applied and supply remains steady, we will review our fares,” a senior union official said.

The development also has implications for government policy. Nigeria’s energy regulators have welcomed the move, stating that it aligns with broader efforts to stabilise fuel prices and ensure affordability. The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has pledged to monitor compliance and ensure that the benefits of the price cut reach end-users.

Industry analysts believe the reduction could intensify competition among fuel suppliers, especially as the Dangote Refinery ramps up production and challenges the dominance of imported PMS. They argue that this could lead to further price adjustments in the market, benefiting consumers in the long term.

While many stakeholders have praised the decision, some have urged the refinery to ensure that the price reduction is sustainable. They point out that fluctuations in global crude oil prices, exchange rates, and domestic distribution costs could still impact the refinery’s ability to maintain lower prices over time.

For ordinary Nigerians, however, the immediate relief is what matters most. With household budgets under pressure, a N30 reduction per litre represents significant savings, especially for small businesses and transport operators who rely heavily on petrol. As the new price takes effect across the country, the coming weeks will reveal the extent of its impact on the economy and daily life.

The Dangote Refinery has reaffirmed its commitment to maintaining a reliable supply of high-quality petroleum products at competitive prices. The company stated that it will continue to review market conditions and adjust accordingly to support economic growth and improve living standards for Nigerians.