The Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) has warned that the increase in petrol price by Dangote Petroleum Refinery will have a ripple effect on the economy.
PETROAN President Dr Billy Gillis-Harry spoke during an interview on Wednesday, two days after the refinery raised its gantry price by N100 to N874 per litre.
He explained that retail outlet owners would incur additional logistics costs following the hike, which would ultimately affect final prices for consumers.
When products are purchased at N874 per litre, operators must transport them and still need to make a profit to stay in business, he stated.
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Harry addressed concerns over alleged exploitation of consumers following the hike, insisting that members sell old stock first and operate within ranges approved by the regulatory authority.
Following the refinery’s announcement, the Nigerian National Petroleum Company Limited increased its pump price in Abuja to N960 per litre from N875.
Checks confirmed the adjustment at several stations in the Federal Capital Territory.
The recent surge in global crude oil prices has been driven by escalating geopolitical tensions in the Middle East.
Nigerian crude has surpassed $80 per barrel, exceeding the Federal Government’s 2026 budget benchmark of $64.85.
Higher prices boost government revenue even as production remains below OPEC quota, with crude accounting for most of Nigeria’s foreign exchange earnings.
The petrol price hike reflects broader market realities tied to global crude volatility and domestic supply chain dynamics.
