Private oil depots in Nigeria have increased the price of Premium Motor Spirit (PMS), commonly known as petrol, to ₦900 per litre. This is a rise from over ₦890 per litre seen over the weekend. The increase is mainly due to the rising cost of crude oil and other global market factors.

The cost of crude oil, which is essential for refining petrol, recently jumped from $70 to $75 per barrel. This increase has forced refineries, including the $20 billion Dangote refinery, to cover higher costs. As a result, petrol prices at depots have gone up.

Several private oil depots, such as Rainoil, Prudent, A.Y.M Shafa, and Mainland, are now selling petrol at ₦900 per litre. This price hike is expected to affect filling stations, meaning consumers may have to pay even more for petrol.

Reports also show that independent retailers are already selling petrol between ₦930 and ₦950 per litre. The rising prices are linked to difficulties in implementing the federal government’s “Naira for Crude” policy, which aims to reduce reliance on foreign currency for crude oil purchases.

Oil marketers, including MRS and Ardova, are struggling with rising costs as they continue sourcing crude oil in dollars. This situation has increased the cost of importing fuel, with the landing price rising from ₦797 per litre to ₦885 per litre within a week.

According to the Major Energies Association of Nigeria (MEMAN), market stabilization will take time, and price adjustments are expected. However, they believe that a well-regulated and competitive market will eventually benefit both businesses and consumers by attracting investment and improving efficiency.

For now, Nigerians should brace for possible further increases in petrol prices as global oil market trends continue to affect local fuel costs.