Lagos, Nigeria – Filling stations in Lagos have sharply increased petrol prices, with premium motor spirit (PMS) now selling for N930 per litre. This marks a significant jump from the previous N860 per litre, worsening economic strain on consumers.
According to TheCable, First Royal petrol station in Ogba raised its price from N860 to N930 per litre on Monday. Similarly, AS Sallam Petroleum opposite the station and MRS Oil in Festac also adjusted prices upward. Meanwhile, Mobil petrol station in Ogba now sells at N935 per litre, up from N865.
The price surge stems from Dangote Refinery’s suspension of naira-denominated fuel sales. This follows failed negotiations with the federal government over a crude-for-fuel exchange deal. Initially, the agreement allowed refiners to sell petrol in naira in exchange for locally sourced crude oil.
However, the deal expired on March 20 without renewal, forcing Dangote Refinery to import crude at higher costs. Consequently, petrol prices have skyrocketed, reversing February’s reduction to N825 per litre. The refinery’s earlier price cut had briefly eased pump prices before the latest crisis.
Meanwhile, the federal government plans to enforce naira transactions for crude and petrol sales by October 2024. This policy aims to stabilize the market and reduce forex dependency. Until then, Nigerians face mounting fuel costs as stakeholders struggle to resolve the deadlock.
Consumers are now bracing for prolonged hardship, with no immediate relief in sight. Analysts warn that sustained high prices could further inflate transport and commodity costs. The situation underscores Nigeria’s vulnerability to global oil market fluctuations.
Authorities remain under pressure to fast-track solutions and prevent wider economic fallout. As negotiations continue, motorists and businesses await decisive action to curb the crisis. For now, Lagosians must adapt to steeper fuel expenses amid dwindling purchasing power.
Stay tuned for further updates on this developing story and its impact on Nigeria’s economy.
