The recent reduction in the ex-depot price of petrol by Dangote Petroleum Refinery has failed to trigger any significant decline in retail pump prices, with most filling stations across the country maintaining existing rates despite the refinery’s latest adjustment.
A market survey conducted by Daily Champion over the weekend showed that while the refinery reduced its ex-depot petrol price by N25 per litre—from N1,275 to N1,250 per litre—most marketers were unable to reflect the reduction at their retail outlets. Only a handful of stations lowered prices by between N5 and N10 per litre, leaving much of the expected relief untransmitted to consumers.
The refinery also reduced the ex-depot price of diesel from N1,800 to N1,700 per litre as part of what it described as its commitment to making refined petroleum products more affordable and supporting economic activity across Nigeria.
Industry observers note that the limited response at the retail level highlights persistent challenges in the downstream petroleum market, where price adjustments at the depot level do not always translate immediately into lower pump prices.
Existing inventories purchased at higher costs, transportation expenses, distribution margins and varying commercial strategies among marketers often delay the transmission of price reductions to consumers.
The situation has also renewed concerns about the absence of effective market-monitoring mechanisms capable of ensuring that benefits from lower ex-depot prices reach end-users.
Analysts argue that while the downstream sector is now deregulated, transparency and competition remain critical to achieving efficient price transmission across the supply chain.
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