More filling stations in Nigeria have reduced the pump price of petrol, giving motorists some relief as competition increases in the downstream petroleum market.
The latest reductions have been reported at stations operated by MRS, Ardova, AA Rano and Ranoil, following recent adjustments by the Nigerian National Petroleum Company Limited (NNPCL).
In Lagos, MRS and Ardova stations have reduced petrol prices to about N1,355 per litre, from previous prices of N1,370 and above, according to checks reported on Monday.
In Abuja, AA Rano, Ranoil and some other marketers have also reduced their pump prices to around N1,400 per litre, representing a reduction of about N20 from previous levels.
The latest adjustments follow NNPCL’s recent reduction of its petrol price to N1,370 per litre at its outlets. Other marketers have been reviewing their prices as they compete for customers.
Another major factor behind the reductions is the Dangote Petroleum Refinery’s decision to cut its petrol gantry price by N25 per litre, from N1,350 to N1,325. The move has increased pressure on marketers to reflect lower supply costs at the retail level.
However, petrol prices are still different across locations because of transportation, distribution and other operating costs. Some filling stations have yet to fully reflect the latest reductions.
The price changes come at a time when Nigerian motorists and businesses continue to face high transportation and operating costs. Lower petrol prices could help ease some of that pressure if the reductions are sustained and spread to more locations.
Industry stakeholders have said competition is increasingly influencing pump prices, with motorists tending to patronise stations offering cheaper fuel.
The latest reductions therefore offer some relief to consumers, although the actual price motorists pay will continue to depend on the location and individual filling station.