Fresh Hardship Looms Across Nigeria as Petrol and Diesel Prices Spike Following Dangote Gantry Review and Global Oil Surge

Nigerians are grappling with a fresh wave of economic anxiety as retail petrol and diesel prices climb steeply across the country, compounding cost-of-living pressures for households and businesses alike.

The latest price adjustments trace back to a 6.7 percent upward review implemented by the Dangote Petroleum Refinery, which moved its wholesale gantry price for Premium Motor Spirit (PMS) from ₦1,265 to ₦1,350 per litre. The adjustment follows sustained volatility in the international energy market, where Brent crude benchmark prices surged past $107 per barrel driven by maritime shipping disruptions and supply route bottlenecks in the Middle East.

As the new wholesale rates filter down to the downstream sector, filling stations across the Federal Capital Territory (FCT) and commercial centers have begun tweaking their pump boards. Retail outlets such as MRS, NIPCO, and Mobil adjusted prices upward, with motorists paying between ₦1,380 and ₦1,430 per litre, while inland cities facing heavier freight and logistics overheads record even higher figures.

The impact is equally severe in the diesel market. Automotive Gas Oil (AGO) depot prices have stayed elevated, trading between ₦1,790 and ₦1,850 per litre across major coastal depots. Because a vast segment of corporate outfits, logistics networks, manufacturing plants, and small businesses depend heavily on diesel-powered generators to bridge public power deficits, the soaring energy costs threaten to squeeze corporate operating margins.

Economic analysts have warned that the ripple effects of the fuel price hike will quickly manifest in everyday markets. Transportation fares have already begun inching upward, a development experts note will directly inflate the cost of moving agricultural produce from hinterlands to urban centers.

Weighing in on the development, development economist Dr. Aliyu Ilias noted that while domestic refineries shield the country from absolute reliance on foreign fuel imports, local pricing remains tightly bound to international crude realities in a deregulated market. He cautioned that without robust palliative buffers or localized cost-insulation mechanisms, recurring price shocks will continue to erode the purchasing power of average citizens.

Consumer advocacy groups have called on the federal government and industry regulators to engage downstream operators in finding sustainable ways to absorb external shocks, warning that prolonged energy inflation could stifle the gradual recovery of the non-oil economy.