The Independent Petroleum Marketers Association of Nigeria (IPMAN) has announced a major reduction in the price of Premium Motor Spirit (PMS), commonly referred to as petrol. Effective immediately, petrol will now retail at ₦935 per litre nationwide.
This adjustment follows a groundbreaking agreement between IPMAN and the Dangote Petroleum Refinery, which fixed the ex-depot price at ₦899.50 per litre. The arrangement, designed to promote consistent pricing and streamlined distribution, also accounts for a logistics fee of ₦36 per litre for marketers.
According to IPMAN National President Maigandi Garima, the new pricing structure marks a significant milestone in standardizing petrol costs across the country.
“Under the new system, marketers will pay a fixed ex-depot price of ₦899.50. Previously, the loading price was ₦970 per litre, but from today, petrol prices will be reduced to ₦935,” Garima explained, noting the benefits of this coordinated effort.
The price reduction emerges amidst growing competition between the Nigerian National Petroleum Company Limited (NNPCL) and Dangote Refinery. Chinedu Ukadike, IPMAN’s Publicity Officer, highlighted this rivalry as a positive force for consumers.
“This competition is good for Nigerians as it sheds light on the true cost of producing PMS and the logistics involved. The dynamics of the deregulated sector are driving these competitive prices, which directly benefit consumers,” Ukadike stated.
He further emphasized that the new pricing framework will enable marketers to lift more volumes, improving accessibility for consumers while supporting the economy.
Under the agreement, marketers will now load products from both the Dangote Refinery and NNPCL depots, ensuring better access to retail outlets.
“This reduction simplifies the process for marketers and enhances efficiency. Dangote’s arrangement involves loading through MRS, while NNPCL is utilizing additional depots to ensure seamless distribution,” Ukadike noted.
The reduced petrol price is expected to provide relief to Nigerians by lowering transportation costs, stimulating economic activity, and ensuring improved access to fuel nationwide. Analysts believe this development marks a step forward in fostering healthy competition within the deregulated market, with long-term benefits for both consumers and the economy.
