Diesel Prices Near ₦2,000, Threatening Nigerian Businesses

Diesel prices in Nigeria have surged to between ₦1,800 and ₦1,900 per litre, approaching the ₦2,000 mark, causing significant concern among businesses reliant on diesel for operations amid unreliable electricity supply. The Crude Oil Refinery Owners Association of Nigeria (CORAN), represented by Publicity Secretary Eche Idoko, emphasized the critical role of diesel in various sectors, including manufacturing, agriculture, and telecommunications.

Idoko warned that ongoing price increases would elevate production and transportation costs, worsening the already challenging business environment. CORAN advocates for increased domestic refining capacity, highlighting that Nigeria's modular refineries could produce between 2.2 million and 2.8 million litres of diesel daily if operating at full capacity.

Despite this potential, Nigeria imported approximately 244.9 million litres of diesel in July, underscoring the need for government support in local refining initiatives. CORAN urged the government to ensure adequate crude oil supply to local refineries and establish sustainable supply arrangements to enhance operational capacity.