Nigeria's Petrol Prices Remain High Despite Global Decline

Concerns have been raised regarding the high cost of petrol in Nigeria, despite a decline in global oil prices. The Nigerian National Petroleum Corporation (NNPC) has reduced the price of petrol from N1,260 to N1,210 per liter, marking the second price cut within a week.

Market surveys indicate that petrol stations in Lagos and Ogun State are selling petrol between N1,190 and N2,210 per liter, depending on location. The reduction in prices follows a drop in global crude oil prices, which fell to around $69.67 to $73.74 per barrel.

Adetunji Oyebanji, a former chairman of a major energy market association in Nigeria, explained that the relationship between crude oil prices and pump prices is complex, as refiners adjust prices based on their inventory costs. Despite the price cuts, analysts like Segun Olonod note that Nigeria's revenue from oil exports has significantly increased during the ongoing global energy crisis, with estimates suggesting a windfall of N5.13 trillion.