Petrol landing cost jumps by ₦88/Ltr in one week — Oil Marketers
Data obtained by the Major Energies Marketers Association of Nigeria (MOMAN) on Wednesday indicated that the landing cost of a litre of imported petrol increased by ₦88 in one week. The association confirmed the rise in the landing cost in its daily energy bulletin released on Wednesday, arguing that price changes are inevitable in a deregulated market.
The increase was from ₦797 per litre last week hitting ₦885 per litre this week. This is an increase of N88 for each litre of petrol imported into the country. The new landing cost is ₦25 higher than the ₦860 that end-user customers pay for Dangote petrol from MRS and other partners.
Similarly, the Dangote refinery’s ex-depot petrol price is ₦815 per litre, ₦70 lower than the new landing cost. In the past few weeks, the pump price of petrol fell to an average of N860 per litre from about ₦1,000 in January as a result of price cuts by the Dangote refinery. The landing cost fell from about N927 below Dangote’s ex-depot price, forcing the refinery to react with a price cut.
The development resulted in the loss of billions of naira by marketers as they were made to sell petrol below their costs. However, the market expects a rise in petrol prices in the coming weeks as a result of the disagreement between the Dangote refinery and the Nigerian National Petroleum Company Limited over the naira-for-crude deal and the rise in the landing cost.
