Nigeria’s Petrol Imports Decline by 13.77% in 2023 After Subsidy Removal

Nigeria imported 20.30 billion litres of Premium Motor Spirit (petrol) in 2023, representing a 13.77% decrease from the 23.54 billion litres imported in 2022, according to the National Bureau of Statistics (NBS) in its latest Petroleum Products Distribution Data.

This decline in petrol imports followed the removal of fuel subsidies by President Bola Ahmed Tinubu’s administration in May 2023. The subsidy removal significantly impacted the nation’s fuel import and distribution patterns.

The report also revealed that petrol distribution fell from 24.35 billion litres in 2022 to 20.22 billion litres in 2023, a 16.96% decrease.

Meanwhile, the data indicated an opposite trend for automotive petrol oil (diesel) imports, which increased by 23.66%, reaching 4.94 billion litres in 2023.

Following the subsidy removal, the price of petrol surged from N238 to over N600 per litre. By September 2024, petrol prices had risen further, with consumers paying between N950 and N1,100 per litre.

This price escalation occurred just as Nigeria began producing fuel for domestic distribution at the Dangote Refinery on September 15, 2024.