In a significant move that is set to bring relief to consumers across Nigeria, the Dangote Petroleum Refinery announced on Wednesday, a reduction in the ex-depot (gantry) price of Premium Motor Spirit (PMS), commonly known as petrol. The price will drop by N65.00, from N890 to N825 per litre, effective Thursday, February 27, 2025.
This announcement comes as a welcome development for motorists and businesses grappling with high fuel costs, which have had a ripple effect on transportation and commodity prices nationwide. The reduction is expected to ease the financial burden on households and potentially lower the cost of goods and services tied to transportation.
The Dangote Petroleum Refinery, a flagship project of the Dangote Group, has been a game-changer in Nigeria’s energy sector since its commissioning. The refinery, which boasts a daily production capacity of 650,000 barrels, has significantly reduced the country’s reliance on imported petroleum products. This latest price cut underscores the refinery’s commitment to stabilizing fuel prices and supporting economic growth.
In a statement released by the refinery’s management, the price adjustment was attributed to improved operational efficiency and a strategic decision to pass on cost savings to consumers. “We are pleased to announce this reduction in the price of petrol, which reflects our dedication to ensuring affordability and accessibility of petroleum products for all Nigerians,” the statement read.
Industry analysts have lauded the move, noting that it could set a precedent for other players in the downstream sector to follow suit. “This is a positive step towards achieving price stability in the petroleum market,” said energy expert Adeola Adeniyi. “It also highlights the impact of local refining capacity on reducing costs and enhancing energy security.”
The reduction is expected to have immediate effects on the economy, particularly in the transportation and logistics sectors, where fuel costs constitute a significant portion of operational expenses. Consumers are also likely to benefit from lower transportation fares and reduced prices of goods and services.
As the new price takes effect on Thursday, stakeholders will be closely monitoring its impact on the broader economy. For now, the Dangote Petroleum Refinery’s decision has been met with widespread approval, offering a glimmer of hope for Nigerians navigating the challenges of rising living costs.
This development reaffirms the critical role of the Dangote Refinery in shaping Nigeria’s energy landscape and its potential to drive sustainable economic growth in the years to come.
