Petrol landing cost hits new high, now N800 more than NNPC retail price as Naira falls

It could be only a matter of time before the federal government decides to revisit its decision to cap Premium Motor Spirit (PMS), popularly called petrol prices, around N600 per litre, given the continued depreciation of the Naira and rising crude oil prices.

Findings by the Sun Newspaper indicate that the landing cost of petrol—which includes the product's foreign pricing, transportation, insurance, and other charges—has further increased to N1,424 per litre.

This is N856 higher than the N568 per litre at which petrol is currently being sold at NNPC retail outlets across the country.

The wide disparity further lends credence to the suspicion that subsidy payments on petrol have returned and are being made under a covert arrangement.

IMF accuse FG of resuming subsidy payment

In February 2024, the International Monetary Fund (IMF) accused the Nigerian government of resuming fuel subsidies through backdoor channels.

In defence, the Group Managing Director of the Nigerian National Petroleum Corporation Limited (NNPCL), Malam Mele Kyari, assured that they are no longer paying subsidy.

Speaking to Journalists recently, he said that contrary to insinuations on social media, the federal government was no longer paying subsidy to any person or group for bringing petroleum products into the country.

His words: "No subsidy whatsoever. We are recovering our full cost from the products that we import. We sell to the market."