In a move to ease the financial burden on Nigerians, the Nigerian National Petroleum Company Limited (NNPCL) has announced a reduction in the pump price of Premium Motor Spirit (PMS), commonly known as petrol, to ₦899 per litre.
The reduction follows a previous price of ₦1,020 per litre and comes as part of a regional pricing strategy set by NNPCL’s Commercial Department. In parts of the South-South region, the product will retail for ₦970 per litre.
The announcement, confirmed by Dr. Joseph Obele, National Public Relations Officer of the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), is seen as a response to increasing competition in the deregulated downstream petroleum sector.
Competitive Market Influence
The development closely follows the Dangote Refinery’s decision to slash its petrol price to ₦899.50 per litre earlier in the week, intensifying competition in the market.
A statement from PETROAN highlighted that the NNPCL price adjustment reflects a strategic response to the evolving competitive landscape in the petroleum sector.
Industry Stakeholders Commend NNPCL
Dr. Billy Gillis-Harry, National President of PETROAN, welcomed the price reduction, calling it a timely relief for Nigerians during the festive season.
“This reduction demonstrates NNPCL’s commitment to making petroleum products more affordable. It is a commendable step that will provide significant relief to motorists and the general public,” Gillis-Harry stated.
Consumer Benefits Highlighted
He further outlined the advantages of the reduced price, which include:
- Lower Transportation Costs: A decrease in fuel expenses for motorists, resulting in increased disposable income.
- Stimulated Economic Growth: Reduced production costs and higher consumer demand are expected to boost economic activity.
- Improved Living Standards: A decline in the cost of living will enable Nigerians to access basic necessities more affordably.
Positive Outlook for the Energy Sector
The price reduction aligns with NNPCL’s broader objective of ensuring affordability and market competitiveness in the deregulated fuel market. Consumers and industry observers hope the move signals a trend towards more favorable pricing in the future.
