KEY POINTS

• Dangote Refinery reduced its petrol gantry price by ₦35 to ₦1,215 per litre, but pump prices in parts of Abuja remain between ₦1,385 and ₦1,420.
• Motorists are urging oil marketers to pass the reduction on to consumers to ease transport and household costs.
• IPMAN says the adjustment may take several days as marketers wait for tankers carrying products purchased at previous prices to arrive and discharge.

MAIN STORY

Motorists in the Federal Capital Territory (FCT) have expressed concern over the slow adjustment of petrol pump prices following a ₦35 per litre reduction in the gantry price by Dangote Refinery.

The refinery recently reduced its petrol gantry price from ₦1,250 to ₦1,215 per litre, raising expectations that the adjustment would eventually translate into lower retail prices.

However, checks by the News Agency of Nigeria (NAN) in Abuja on Sunday showed that petrol prices at several filling stations remained between ₦1,385 and ₦1,420 per litre.

AY Shafa sold petrol at ₦1,399 per litre, while Mabso retail outlet charged ₦1,385. Empire Energy sold at ₦1,420, while Total and Rainoil outlets sold at ₦1,410 per litre each.

The prices have prompted motorists to call on marketers to reflect the lower supply cost in their retail prices, particularly as high fuel expenses continue to affect transportation and household spending.

THE ISSUES

Bala Usman, a motorist residing in Mabuchi, said the reduction in Dangote Refinery’s gantry price should lead to a significant drop in pump prices.

He urged marketers to pass the benefit of the lower supply cost to consumers, noting that high petrol prices continued to place pressure on households and businesses.

Another motorist, Adelaja Scott, who lives in Durumi, also called for lower pump prices, saying the cost of fuel had contributed to rising transportation and other essential expenses.

Ishiaku Baba said a reduction would provide relief to road users and commercial transport operators who depend heavily on petrol to run their businesses.

Abubakar Waziri, a motorist in Lokogoma, similarly urged marketers to pass reductions in procurement and operating costs on to consumers.

However, the Independent Petroleum Marketers Association of Nigeria (IPMAN) said the adjustment might not happen immediately because some marketers were still receiving products purchased at the previous prices.

WHAT’S BEING SAID

“Some petroleum tankers carrying products purchased at previous prices are still on transit and must first arrive at their destinations and discharge their contents before marketers can begin adjusting pump prices.” – Chinedu Ukadike, National Publicity Secretary, IPMAN.

“Refineries and marketers will need to review their pricing arrangements and remittances based on the new supply costs.” – Chinedu Ukadike, National Publicity Secretary, IPMAN.

WHAT’S NEXT

Ukadike said marketers would review their pricing arrangements and remittances to reflect the new supply costs.

He explained that a reduction in the gantry price did not automatically result in an immediate reduction at filling stations because the timing of price adjustments depended on when marketers received fresh supplies at the revised rates.

He said the process could take a few days before the lower prices were fully reflected at retail outlets.

BOTTOM LINE

Although Dangote Refinery has reduced its petrol gantry price by ₦35 per litre, motorists are yet to see a corresponding adjustment at several Abuja filling stations. The timing of the reduction will depend partly on how quickly marketers clear older, higher-priced stock and begin selling supplies purchased at the new rates.