In a move set to bring relief to Nigerian consumers, Dangote Petroleum Refinery has announced a reduction in the ex-depot (gantry) price of Premium Motor Spirit (PMS) from N950 to N890 per liter, effective Saturday, February 1, 2025.
The price adjustment, according to a statement released by the refinery, is “a direct response to the positive outlook within the global energy and gas markets, as well as the recent reduction in international crude oil prices.”
This development follows a modest price increase earlier in January 2025, which was necessitated by rising crude oil prices at the time. The refinery emphasized that the new price cut reflects its “unwavering commitment to transparency and fairness,” ensuring that the fluctuations in global oil markets are passed on to the local economy.
Impact on Economy and Cost of Living
The Dangote Refinery expressed confidence that the N60 per liter reduction will have far-reaching benefits for Nigerians, easing the cost of petrol nationwide and leading to lower prices of goods and services.
“Dangote Petroleum Refinery firmly believes that this reduction from N950 to N890 will result in a meaningful decrease in the cost of petrol nationwide, thereby driving down the prices of goods and services, as well as the overall cost of living, with a positive ripple effect on various sectors of the economy,” the statement noted.
With transportation costs being a major determinant of inflation, industry analysts suggest that the price cut could translate into cheaper fares for commuters and reduced overhead costs for businesses reliant on fuel.
As part of efforts to ensure that consumers fully benefit from the price reduction, the refinery has urged petroleum marketers to play their part in passing the cost savings to the public.
“Dangote Petroleum Refinery calls upon marketers to collaborate in this effort, to ensure that these benefits are passed on to the Nigerian populace,” the statement urged.
This move aligns with President Bola Ahmed Tinubu’s broader economic strategy aimed at achieving self-sufficiency in refined petroleum products and positioning Nigeria as a major oil export hub.
The price adjustment is expected to ease public concerns over fuel affordability, especially amid Nigeria’s broader economic recovery efforts. Whether the relief reaches end-users, however, will depend largely on the cooperation of fuel distributors and retailers in maintaining fair pump prices across the country.
