Lagos, Nigeria – February 28, 2025 – The Dangote Petroleum Refinery has announced a significant ₦65 reduction in the price of Premium Motor Spirit (PMS), commonly known as petrol, in a move that is expected to bring relief to millions of Nigerian consumers and businesses struggling with high fuel costs.
The price cut, effective immediately, comes as part of the refinery’s commitment to stabilizing the petroleum market and ensuring affordability for Nigerians. The decision has been widely welcomed by transport operators, businesses, and households, who have been grappling with high fuel prices amid economic challenges.
With the reduction, the new price per liter of petrol is expected to be lower across major distribution points. While specific regional pricing may vary, industry analysts estimate that the cost of PMS at retail stations will drop proportionally based on location and logistics.
Alhaji Aliko Dangote, Chairman of the Dangote Group, stated that the refinery’s decision aligns with its broader goal of reducing Nigeria’s dependence on imported fuel while ensuring that local consumers benefit from competitive pricing. “Our aim has always been to provide Nigerians with high-quality petroleum products at the most affordable rates. This reduction is a step toward easing the financial burden on individuals and businesses,” he said.
The announcement has sparked widespread reactions from key stakeholders, including the Nigerian National Petroleum Company Limited (NNPC), petroleum marketers, and the transport sector.
- Petroleum Marketers: The Independent Petroleum Marketers Association of Nigeria (IPMAN) praised the move, stating that it will help reduce operational costs and improve the supply chain efficiency.
- Transport Operators: Commercial transporters and logistics companies have expressed optimism that the price cut will lead to a decrease in transport fares, thereby reducing inflationary pressures on goods and services.
- Consumers: Many Nigerians have welcomed the development, hoping that the price drop will translate into lower costs for fuel-dependent industries, including manufacturing and agriculture.
The reduction in PMS prices is expected to have a ripple effect on the Nigerian economy, potentially leading to:
- Lower Transportation Costs: A reduction in fuel prices could lead to lower fares for public transport and reduced logistics costs for businesses.
- Controlled Inflation: With fuel being a major driver of inflation, a price cut could help stabilize the cost of essential goods and services.
- Improved Business Climate: Small and medium enterprises (SMEs) that rely on fuel for operations may benefit from reduced overhead costs, promoting business growth and job creation.
The Dangote Refinery’s decision to lower PMS prices by ₦65 marks a positive shift in Nigeria’s energy sector, offering much-needed relief to consumers and businesses. As the refinery continues to expand its operations, further pricing adjustments may be expected, shaping the future of Nigeria’s domestic fuel market and reducing reliance on costly fuel imports.
