In a move offering some respite to motorists, the Nigerian National Petroleum Company (NNPC) Limited has announced a reduction in the pump price of Premium Motor Spirit (PMS), commonly known as petrol, at its retail outlets in the Federal Capital Territory. This adjustment comes amidst a significant influx of refined products from the Dangote Petroleum Refinery, which has bolstered nationwide supply.
Regional Price Disparity: Abuja Sees Cut, Lagos Holds Steady
The NNPC has lowered the price of petrol in Abuja to N815 per litre, a decrease of N20 from the previous rate of N835. This new pricing was confirmed to be in effect at several NNPC stations within the capital, including the Lugbe branch, as of Monday, January 6, 2026.
However, the price review was not uniform across the country. In a clear illustration of regional supply and logistical differences, petrol prices at NNPC outlets in Lagos remained unchanged at N785 per litre. Observations at stations like the Apple Junction outlet in Festac Town confirmed the sustained rate. Industry analysts note that such regional variations have become more common following the deregulation of the downstream petroleum sector.
Market Glut Amid Dangote's Massive Delivery and Shutdown Denial
The NNPC's price adjustment occurs against a complex market backdrop. Recently, private depot owners in key locations increased their ex-depot prices, sparking concerns among retailers about potential nationwide price hikes. Joseph Obele, National Public Relations Officer of the Petroleum Products Retail Outlets Owners Association of Nigeria, cautioned that market stability might be fragile due to supply-side uncertainties.
Part of the market anxiety was linked to rumours that the Dangote Refinery was preparing for a shutdown for turnaround maintenance. These reports contributed to upward pressure on depot prices as marketers anticipated tighter supply.
However, these claims have been firmly dismissed. A source familiar with the refinery's operations stated that production is ongoing and there are no plans for an imminent shutdown. This assurance was backed by substantial action: the Dangote Refinery reportedly delivered approximately 43 million litres of petrol across Nigeria in a single day, significantly enhancing supply and helping to stabilise availability at filling stations.
This massive delivery follows a previous positive move by the refinery, which on December 12, 2025, reduced its ex-gantry petrol price to N699 per litre from N828, marking the lowest price point in nearly two years.
Clarification on Pricing and Consumer Outlook
In a related development, Dangote Industries Limited issued a statement to correct misinformation regarding its pricing. The company denied selling PMS to the NNPC at N898 per litre, describing such claims as misleading and mischievous attempts to undermine the refinery's role in addressing Nigeria's energy challenges.
For Nigerian consumers, the current market dynamics present a mixed picture. While residents in Abuja enjoy modest price relief, those in Lagos and other regions continue to face existing rates. The sustained and large-scale supply from the Dangote Refinery is a key factor in preventing more severe price volatility. The combination of increased local refining capacity and strategic adjustments by the NNPC suggests a cautiously optimistic outlook for fuel affordability in the coming months, though regional disparities and underlying market forces remain influential factors.
