The Nigeria Labour Congress (NLC) has expressed concerns over the persisting disparity between petrol’s landing cost and pump price in Nigeria.
Notably, the petrol landing cost of Premium Motor Spirit (PMS) has decreased to ₦971 per litre for November 2024.
This significant 20.23% drop from ₦1,219 per litre in August 2024, as reported by the Major Energies Marketers Association of Nigeria, can be attributed to fluctuations in the Naira-dollar exchange rate and international crude oil prices.
Specifically, the Naira stood at ₦1,678.87 to the dollar, with Brent crude priced at $73.63 per barrel, as of the end of trading on Friday.
In contrast, August’s rates showed crude priced at $80.72 per barrel and the Naira exchange rate at ₦1,611 per dollar.
Despite this decrease, petrol remains pricey at the pump in Nigeria, with retail prices ranging from ₦1,060 to ₦1,200 per litre at various stations, including those operated by the Nigerian National Petroleum Company Limited.
Interestingly, the price of petrol had surged from ₦617 per litre in August 2024 to over ₦1,060 per litre by November 2024.
Recently, the Dangote Refinery announced ex-depot prices of ₦960 and ₦990 per litre for petrol delivered by ships and trucks, respectively.
The NLC has raised questions about the fairness of pricing for consumers, emphasizing the need for transparency in petrol pricing.
As the disparity between peyro landing costs and pump prices persists, concerns about the impact on consumers and the economy continue to grow.
