By Divine Sam
The recent fuel price hike in Nigeria has sparked widespread concern and frustration among citizens. Dangote Refinery and the Petroleum Products Marketers Association of Nigeria (PETROAN) have attributed the rise in the price of Premium Motor Spirit (PMS) to the surge in global crude oil prices.
Dangote Refinery raised its ex-depot price from N899.50 to N950 per litre, resulting in retail prices climbing to between N970 and N1,150 per litre across the country. The refinery explained that the 5% increase in ex-depot prices is a direct response to the jump in global crude prices, which have surged from $70 to $82 per barrel. Despite this, Dangote noted that it absorbed 50% of the cost increase, helping to keep prices lower than they would have been otherwise.
PETROAN also echoed this sentiment, citing the fluctuation of international oil prices as the main cause of the domestic price hike. They stressed that their members are affected by these external factors and should not be blamed for the price increase.
However, many Nigerians are feeling the impact of this hike. The increase is expected to drive up the prices of goods and services, especially food and transportation, which are already burdened by inflation and the weakened value of the naira. Nigerians are concerned that this will exacerbate their daily struggles, and the blame on global oil prices has not appeased the frustrations of ordinary citizens.
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