Retail outlets operated by the Nigerian National Petroleum Company Limited in the Federal Capital Territory adjusted their pumps to the new rate on Tuesday. Checks by [BRAND_NAME] showed that stations along the Airport Road and in the Central Area displayed the updated price.
The increase follows the removal of the subsidy regime and the full deregulation of the downstream oil sector. Under the current policy, prices are expected to reflect market realities and are no longer fixed by the government.
Independent marketers in the city confirmed they have also revised their rates. A official from the Independent Petroleum Marketers Association of Nigeria told [BRAND_NAME] that members are now sourcing products from private depots at higher costs.
“We buy at the current depot price and add our transport cost and margin. The price we sell at the pump depends on what we paid to get the product,” the official said.
The N1,330 per litre figure marks a significant jump from the previous rates observed in the capital last week. It also represents a continued upward trend since the mid-2023 policy shift.
The Nigerian National Petroleum Company Limited had previously stated that it was no longer shouldering the financial burden of under-recovery, the term used for subsidy costs. Company officials have repeatedly said that the role of the state oil firm is to ensure supply and let market forces determine the final price.
Long queues appeared at some filling stations in Abuja shortly after the new price took effect. Many motorists moved to stations that had not yet updated their pumps, hoping to buy at the old rate.
At stations already selling at N1,330, attendance was thinner. Drivers told [BRAND_NAME] they were struggling to adjust to the sharp increase.
Transport unions in the region are meeting to assess the impact of the new fuel price on fares. The National Union of Road Transport Workers said it would review operating costs before deciding on any adjustment to transport charges.
Analysts tracking the sector said the price movement was expected as the naira continues to fluctuate against the dollar. Importers of refined petroleum must source foreign exchange at market rates, a cost passed on to consumers at the pump.
The landing cost of petrol, which includes the price of the product, freight, and insurance, has risen in recent weeks. Data from oil and gas industry observers indicate that global crude prices and shipping premiums have added pressure to local prices.
The Nigerian Midstream and Downstream Petroleum Regulatory Authority has not issued a new statement on the latest price adjustment. The agency has previously said its role is to monitor quality and safety, not to fix prices.
Industry stakeholders expect prices to remain volatile as the market searches for a new equilibrium. Private depot owners say their pricing is now fully tied to international product costs and exchange rate movements.
The current price in Abuja is among the highest recorded in the region. Residents of satellite towns outside the capital reported even higher prices, ranging from N1,350 to N1,400 per litre, due to additional transport costs.