Motorists in Abuja shifted away from Nigerian National Petroleum Company Limited (NNPCL) stations and other outlets charging more for petrol on Monday, as competing retailers lowered prices across the Federal Capital Territory.
Lower prices draw motorists away from NNPCL outlets
Station attendants said customer traffic fell sharply at higher-priced outlets during Monday afternoon. An employee at an NNPCL station in Abuja, speaking anonymously, said the decline followed the widening gap between the company’s prices and those of rival retailers.
The reductions were led by MRS, AA Rano, Sharon and several other filling-station operators. MRS cut its pump price in Abuja and surrounding areas by N50, taking it from N1,260 to N1,210 per litre. It was the company’s second price reduction in under two weeks.
- AA Rano, Sharon and other retailers reduced their prices by N25 per litre.
- The revised prices took effect on Monday along Kubwa Expressway and in other parts of the Federal Capital Territory.
- The cuts followed Dangote Refinery’s latest reduction, which brought its petrol price to N1,165 per litre.
While MRS and other marketers continued to lower prices, NNPCL retail stations and some other outlets kept their rates between N1,299 and N1,310 per litre. Those prices were still displayed at NNPCL stations in Gwarinpa, Wuse Zones 4 and 6, as well as other locations in Abuja and its outskirts.
Attendants report steep fall in sales
An attendant at an NNPCL outlet said motorists were avoiding the station because of its higher price. The worker said sales had been made to only a handful of customers — roughly four to 10 people — by Monday, while buyers complained repeatedly about the cost of fuel.
The attendant said there was hope that the station would reduce its price from Tuesday. Two other attendants at Shema and Emedab stations also reported weak patronage on Monday, linking the decline to the higher pump prices.
NNPCL spokesperson Andy Odeh had not responded to questions about the pricing gap by the time of publication.
Dangote supply and market concerns
Trucks belonging to Dangote Refinery were seen at several retail outlets in Abuja. Chinedu, a spokesperson for the Independent Petroleum Marketers Association of Nigeria, said NNPCL and other marketers may not yet have received or stored supplies from the refinery.
The uneven pass-through of the refinery’s price cut has intensified concerns across Nigeria’s downstream oil and gas industry.
Depot prices and regulatory action
Petroleum depot owners had also reduced their prices to at least N1,168 per litre, adding to the pressure on retail stations to adjust their pump rates.
International crude benchmarks were trading at approximately $87 a barrel for Brent and $82 for West Texas Intermediate on Monday.
The Nigerian Midstream and Downstream Petroleum Regulatory Authority had begun discussions with industry stakeholders on measures to address anti-competitive pricing in petroleum products.
