The cost of landing petrol in Nigeria has decreased noticeably, according to data from the Major Energy Marketers Association.
As of November 2024, the landing cost of Premium Motor Spirit (PMS), commonly known as petrol, has declined to N971 per litre. This marks a significant reduction of 20.23 percent from the previous cost of N1,219 per litre recorded in August of the same year.
Experts attribute this reduction to recent shifts in both the naira-dollar exchange rate and global crude oil prices. The Nigerian currency, the naira, was exchanging at N1,678.87 per dollar by the end of last week, compared to an exchange rate of N1,611 per dollar back in August.
Additionally, the international price for Brent crude, a key benchmark for oil, has fallen to $73.63 per barrel, down from $80.72 per barrel three months prior.
Interestingly, despite the drop in landing costs, the price of petrol remains high for Nigerian consumers. Petrol is currently sold between N1,060 and N1,200 per litre at Nigerian National Petroleum Company Limited (NNPC) outlets and other filling stations across the country.
This has led to frustration among the public, as retail prices had previously surged from N617 per litre in August to over N1,060 per litre in November.
The Nigeria Labour Congress (NLC) voiced its concern over the issue in a communiqué, stating that the pump price of petrol in Nigeria is currently higher than its actual market value.
