Petrol Nears ₦1,000/Litre as PENGASSAN Blames Marketers, Depot Shutdown

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Petrol prices surged nationwide on Monday following rising crude oil prices triggered by the Israel-Iran crisis, and a simultaneous strike by tanker drivers in Lagos, prompting the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) to accuse oil marketers of exploiting Nigerian consumers.

Data from Petroleumprice.ng showed that major depots hiked their prices significantly, with Dangote Refinery’s PMS rising from ₦825 to ₦840 per litre, while Rainoil jumped by ₦50 to ₦900. Fynefield and Mainland increased their prices to ₦930 and ₦920 respectively. Other marketers like Sigmund, Matrix Warri, NIPCO, and Aiteo also recorded spikes ranging from ₦840 to ₦920 per litre.

PENGASSAN President Festus Osifo, speaking at a world press conference in Abuja, criticised oil marketers for profiteering and called on the government to enforce pricing transparency. He insisted that petrol should sell for no more than ₦750 per litre under current market conditions.

“We are seeing a situation where crude oil prices have dropped globally, yet retail petrol prices remain high. This is clear exploitation,” Osifo said. He argued that with crude prices now between $62 and $65 per barrel, PMS should retail between ₦700 and ₦750 per litre, not the current ₦875 to ₦905 range.

Osifo attributed the artificial pricing to regulatory failure, calling out the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) for allowing arbitrary price adjustments under the guise of deregulation.

He urged the NMDPRA to begin publishing transparent pricing templates based on international benchmarks such as Platts (PLAT) to curb what he described as market manipulation.

Depot operators attributed part of the price surge to a strike by tanker drivers along the Lekki-Epe corridor in Lagos, protesting a controversial ₦12,500 e-call up fee introduced by the state government. The protest halted fuel loading at key terminals, threatening an impending fuel scarcity if unresolved.

A depot operator, speaking anonymously, said, “The bigger issue right now is not just price but availability. No fuel was loaded on Monday, and if this continues, we could be facing another major shortage.”

The Executive Secretary of the Major Energies Marketers Association of Nigeria (MEMAN), Clement Isong, urged the Lagos State Government to urgently resolve the dispute with tanker drivers to prevent further disruptions. He acknowledged that the e-call up charges could drive prices even higher.

The international backdrop further complicates the situation. Nigeria’s major crude grades—Bonny Light, Brass River, and Qua Iboe—rose above $77 per barrel following Israel’s military operations in Iran. Oilprice.com data showed Bonny Light at $78.62, up from an average of $65 days earlier. While the surge offers potential fiscal gains for Nigeria’s budget, it also increases costs for refiners.

Meanwhile, Osifo raised concerns over the persistent shutdowns of Nigeria’s state-owned refineries, particularly the Port Harcourt Refinery. Despite over $2.5 billion spent on rehabilitation, the facilities remain largely idle, which he blamed on political interference rather than technical deficiencies.

“The inefficiency at our refineries, especially Port Harcourt, is politically driven. If properly run, these facilities could reduce our reliance on imported petrol and stabilize prices,” Osifo said. He called on the Nigerian National Petroleum Company Limited (NNPCL) to overhaul its operational models and embrace longstanding reform recommendations.

Osifo also warned that rising insecurity in oil-producing regions—particularly in the Niger Delta and waterways—is driving multinational oil companies to exit Nigeria despite government cost-saving reforms.

With petrol inching closer to the ₦1,000 per litre mark, experts say urgent intervention is needed from both federal and state governments to address supply chain bottlenecks, enforce price regulation, and enhance domestic refining capacity.

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