Motorists in Lagos and Abuja woke up to sharp increases in petrol prices, with pump rates rising almost overnight amid escalating Middle East tensions. In Lagos, Premium Motor Spirit (PMS) climbed from N830 to N937 per litre, while in Abuja prices rose from N875 to as high as N975 per litre at major retail outlets, with some independent marketers selling at N960.
The immediate trigger was a fresh upward review of ex-depot prices by Dangote Petroleum Refinery & Petrochemicals, which raised its gantry price from N774 to about N874–N875 per litre. Industry sources linked the adjustment to surging global crude oil prices and higher replacement costs. A temporary suspension of petrol loading earlier in the week further tightened supply expectations, accelerating price changes across the downstream sector.
Global oil prices have rallied sharply due to intensifying hostilities involving the United States, Iran, and Israel, raising fears of potential disruption along the Strait of Hormuz, a key oil transit corridor. Analysts warn that sustained instability could push crude prices toward $100 per barrel, with direct implications for deregulated markets like Nigeria.
The Petroleum Products Retail Outlets Owners Association of Nigeria described the development as worrisome, cautioning that prolonged geopolitical volatility could fuel inflation, strain foreign exchange markets and distort domestic pricing structures. The association called for consistent crude supply to local refineries, sustained implementation of the Naira-for-Crude policy and accelerated rehabilitation of state-owned refineries to cushion external shocks.
Meanwhile, commuters and transport operators are already bracing for higher fares and rising living costs. Economic analysts note that transport expenses significantly influence food and commodity prices, warning that the psychological impact of petrol nearing the N1,000 mark could further deepen inflationary pressures as businesses pass on increased operating costs to consumers.
