MEMAN Reports Decrease in Premium Motor Spirit (PMS) Landing Cost

According to information released on Thursday by the Major Energies Marketers Association of Nigeria (MEMAN), the landing cost of Premium Motor Spirit (PMS) dropped from N1,130 per litre in July to N981.08 per litre in September 2024.

This data was revealed in MEMAN’s Competency Centre Energy Bulletin. The report shows a N148.92 per litre reduction in PMS landing cost during the evaluation period.

The decline is attributed to the fluctuations in crude oil prices on the international market, with crude oil trading at $80 per barrel in August 2024 before dropping to between $70 and $75 in September 2024.

Despite the reduction in landing cost, Nigerians still purchase petrol at prices ranging from N950 to N1,100 per litre, depending on the region.

This follows a price hike announced on September 15, 2024, when the Nigerian National Petroleum Company (NNPC) lifted fuel from the Dangote Refinery and introduced a new increase in petrol prices. The NNPC claimed to have paid N898 per litre for domestically produced fuel from the Dangote Refinery, though the Dangote Group denied this claim and has not disclosed the product’s actual price.

Fuel pricing in Nigeria’s oil and gas industry has become a national discussion due to the country's high energy costs. On Thursday, the House of Representatives demanded that Dangote Refinery disclose its fuel pricing and sell directly to petroleum marketers.

In a recent interview with Bloomberg Television, Aliko Dangote, president of the Dangote Group, urged the Nigerian government to fully discontinue the fuel subsidy program.