- Dangote Refinery Slashes Diesel Gantry Price By ₦200
- New depot price dropped from ₦1,800 to ₦1,600 per litre.
- Increased fuel imports boosted market supply and competition significantly.
Dangote Petroleum Refinery has reduced the depot price of Automotive Gas Oil, AGO, popularly known as diesel, by ₦200 per litre amid growing competition in Nigeria’s downstream petroleum sector.
Naija News reports that the latest adjustment reduced the depot price of diesel from ₦1,800 to ₦1,600 per litre.
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EKO HOT BLOG reports that industry sources disclosed that the new price took effect from May 26 following the arrival of fresh imported fuel cargoes into the country.
Operators in the oil and gas sector linked the price reduction to increased fuel supply in the market as imported petroleum products began entering Nigeria in larger volumes.
According to industry players, the renewed inflow of imported fuel has intensified competition among suppliers and marketers, putting pressure on local prices.
A representative of the Petroleum Products Retail Outlets Owners Association of Nigeria confirmed that the adjustment followed the discharge of imported petroleum products by fuel vessels arriving in the country.
The official noted that market conditions had shifted significantly after the imported products became available in the downstream sector.
The development comes amid recent disagreements between fuel marketers and the Nigerian Midstream and Downstream Petroleum Regulatory Authority over the issuance of fuel import licences.
Some marketers were recently granted approval to import petroleum products, a move that has further increased supply across the market.
Industry analysts believe the reduction in diesel prices could provide relief for businesses and transport operators that rely heavily on diesel for daily operations.
Many manufacturers and logistics operators have struggled with high energy and transportation costs in recent months due to rising fuel prices.
Stakeholders say a sustained reduction in diesel prices could help lower operating expenses and ease inflationary pressure on goods and services nationwide.
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