Toba Owojaiye reportingÂ
Abuja, Nigeria
In a significant move to ease financial pressure on Nigerians, Dangote Petroleum Refinery has announced a fresh reduction in the ex-depot price of Premium Motor Spirit (PMS), commonly known as petrol. The price will drop from N890 to N825 per litre, effective February 27, 2025.
Truth Live News reports that this marks the second price cut in February, following an earlier reduction from N950 to N890 per litre on February 1, 2025. The latest adjustment comes as part of the refinery’s strategy to support consumers ahead of the Ramadan season and aligns with President Bola Ahmed Tinubu’s economic recovery agenda.
Regional Price Breakdown
Despite the new ex-depot price, retail pump prices will vary across different regions due to logistics and transportation costs:
MRS Holdings Stations:
Lagos – N860 per litre
South-West – N870 per litre
North – N880 per litre
South-South & South-East – N890 per litre
AP (Ardova Petroleum) & Heyden Stations:
Lagos – N865 per litre
South-West – N875 per litre
North – N885 per litre
South-South & South-East – N895 per litre
With the rising cost of living and inflation, petrol prices remain a critical concern for businesses and consumers. As of February 17, 2025, the average national pump price was N929 per litre, significantly higher than global averages. The Dangote Refinery has reassured Nigerians of a stable fuel supply, with sufficient reserves to meet domestic needs and boost foreign exchange earnings through exports.
While the price cut is a welcome relief, distribution challenges persist. The Nigerian Association of Liquefied Petroleum Gas Marketers (NALPGAM) recently raised concerns over Lagos State government levies discouraging the lifting of products from the Dangote Refinery, which could impact supply chains.
In response to high fuel costs, the Federal Government has been promoting the Presidential Compressed Natural Gas (CNG) Initiative, launched in August 2023, aimed at converting petrol-powered vehicles to CNG as a cheaper and cleaner alternative.
The latest price reduction is expected to provide short-term relief, but the long-term impact will depend on effective distribution and whether petroleum marketers pass the savings on to consumers. With Ramadan approaching, the move could offer some economic relief, but challenges in the fuel sector remain.