Prices of premium Motor Spirit (PMS), better known as petrol, may soar, as depot owners have increased prices at depots by ₦43, or 4.74%, due to the rising crude oil prices.
The increase which has sparked concerns among consumers, is linked to the recent surge in global crude oil prices, with Nigeria’s Bonny Light rising to $80 per barrel. Recall that the cost of Brent, the global benchmark for crude, reached $79.76 per barrel on Sunday.
This current situation indicates that filling stations nationwide may adjust their pump prices to reflect the higher costs of refined products.
An analysis of data on petrol price movements at loading depots on Monday showed that Swift depot increased its loading price to ₦950 per litre, up from ₦907 per litre, last Friday.
Wosbab Depot increased its price to ₦950 from ₦909, while Sahara Depot made a similar change to ₦950 from the ₦910 it sold a litre of petrol last Friday. Also, a private depot, Shellplux, increased its loading costs to ₦960 from ₦908. Chipet Depot asked retailers to pay ₦960 per litre to receive products. It sold at ₦908 per litre last week Friday.
NIPCO Depot increased its price to ₦1,150, from ₦1,120; while Optima Depot approved a ₦72 increase to ₦1,120 per litre, from ₦1,048.
The average increase in depot prices for PMS stands at approximately 7-10% while AGO have surged by 5-10%, depending on the depot and location.
With depot rates showing no signs of stabilising, the coming weeks may bring further adjustments, emphasising the need for long-term strategies to mitigate the impact on consumers and the economy.
According to a marketer, Bayo Adelaja, “Depot rates have escalated sharply, and this is directly affecting pump prices. Consumers should expect further fluctuations in the coming weeks”.
