The Nigerian National Petroleum Company Limited (NNPCL) has reduced the price of Premium Motor Spirit (PMS) from ₦1,045 per litre to ₦1,030 per litre, according to the Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN).
This development was announced by PETROAN’s National President, Dr. Billy Harry, during a strategic meeting and award ceremony held in Abuja on Thursday, November 28.
“Today, NNPCL has reduced their price to ₦1,030. We remain hopeful and are pushing for further reductions,” Harry said.
The price cut comes as NNPCL faces competition from Dangote Refinery and Petrochemicals, which offers PMS at ₦970 per litre. However, Dangote’s pricing requires a minimum purchase of two million litres, creating a challenge for smaller marketers. In contrast, NNPCL does not impose minimum purchase restrictions, offering more flexibility.
Dr. Harry explained the financial strain this competition places on retail outlet owners.
“Most of our members struggle to raise ₦50–60 million to buy products. With NNPCL, we can buy in smaller volumes, sell, and quickly turn over our stock. But purchasing two million litres at once requires significant collaboration among marketers,” he said.
NNPCL has also activated its portal to enable marketers to lift products more efficiently, a move expected to increase supply and potentially reduce prices further.
“The free market system is fostering competition, which will help drive down prices. As I speak, NNPCL is programming for us based on the current price,” Harry noted.
In light of increased availability of domestically refined fuel, PETROAN has suspended plans to import PMS, prioritizing local sources such as Dangote Refinery and government-owned facilities like the Port Harcourt and Warri refineries.
“We are not seeking dollars to import when we can transact in Naira. With local refineries meeting demand, we will source products domestically to ease the burden on marketers and the economy,” Harry concluded.
This reduction signals a positive shift for the downstream petroleum sector, with the promise of further stabilization and affordability for consumers.
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