The Nigeria Labour Congress (NLC) and Civil Society Organisations (CSOs) have criticized the recent reduction in the pump price of Premium Motor Spirit (PMS) to ₦935 per litre, describing it as inadequate and unsatisfactory.
The adjustment, announced by Dangote Petroleum Refinery in partnership with MRS, follows a previous price of over ₦1,030 per litre in Lagos and above ₦1,060 per litre in Abuja and northern states.
On Sunday, the Independent Petroleum Marketers Association of Nigeria (IPMAN) disclosed that the new pump price was based on Dangote Refinery’s revised ex-depot price, enabling marketers to sell petrol at ₦935 per litre nationwide, despite incurring logistics costs of ₦36 per litre.
However, the NLC and CSOs remain unimpressed, urging the government and private sector players to reduce the price further to reflect local realities.
NLC Criticizes Pricing Mechanism
Chris Onyeka, a senior official of the NLC, rejected any commendation for the government or the Nigerian National Petroleum Company Limited (NNPCL) over the price reduction. He argued that the current pricing framework is unjust and fails to reflect the true cost of domestic production.
“Why should Nigerians celebrate a pump price of ₦935 per litre when the commodity is refined locally? The pricing is based on imported product costs, burdening Nigerians with unnecessary expenses,” Onyeka stated.
He highlighted embedded costs such as foreign labour, freight charges, and insurance, which inflate prices and fail to account for local refining capabilities.
“To determine the right price, we need transparency on the actual cost of refining PMS domestically. Nigerians deserve a fair price based on our local refineries,” he added, calling on the government to prioritize citizens’ welfare and address the economic hardships caused by high fuel costs.
CSOs Express Displeasure
The Chairman of the Centre for Accountability and Open Leadership, Debo Adeniran, described the current price as unsatisfactory, suggesting that both the government and private sector could provide PMS at no cost without incurring losses.
“Petroleum derivatives generate enough revenue to offset the cost of providing PMS for free. Even at ₦935 per litre, the price remains unreasonably high. If a private refinery like Dangote can hint at a price drop to ₦650, the government has no excuse,” Adeniran stated.
He also recalled past expectations that PMS prices would drop below ₦200 once the Dangote Refinery became operational, adding, “It’s unfortunate we’re celebrating prices over ₦900. The government should publish a transparent breakdown of production costs to justify these prices.”
Similarly, Ibrahim Rafsanjani, Executive Director of the Civil Society Legislative Advocacy Centre, acknowledged the reduction but urged the government to do more.
“If a private company like Dangote can lower prices and remain profitable, why can’t government-owned enterprises ease the burden on citizens? The government must show empathy and take further steps to reduce costs,” Rafsanjani emphasized.
Growing Public Dissatisfaction
The calls from the NLC and CSOs underscore widespread discontent over the rising cost of living in Nigeria, with fuel prices identified as a major contributor to inflation and economic strain.
The groups reiterated their demand for fair pricing and urged the government to adopt measures that alleviate the financial pressures on Nigerians, ensuring affordability and equity in fuel pricing.
