The Dangote Refinery, a major player in Nigeria’s petroleum industry, has released the projected prices for Premium Motor Spirit (PMS) at NNPC Retail Stations nationwide for September 2024. These prices vary significantly by region, reflecting transportation costs, demand, and other logistical factors. The pricing information shows a notable difference between northern and southern states, with Lagos boasting the lowest prices while Borno State faces the highest.
As the Nigerian government moves away from fuel subsidies, the Dangote Refinery’s pricing model plays a critical role in determining the cost of PMS. The refinery’s strategic position as a domestic supplier is designed to stabilize fuel prices in the long term, but current projections still present notable regional disparities.
Borno State Faces Highest PMS Price at N1,019.22
Residents of Borno State are expected to pay the highest price for PMS at N1,019.22 per liter. The increase is primarily due to the state’s remote location and the ongoing security challenges in the region, which complicate transportation logistics. These difficulties drive up the cost of fuel delivery, leading to higher pump prices compared to other parts of Nigeria.
The high price in Borno may exacerbate the already difficult economic conditions for residents, many of whom rely heavily on fuel for transportation and business operations. This increase is expected to further strain household incomes in a region still recovering from years of insurgency and instability.
Dangote Refinery – Abuja’s FCT Sees Slightly Lower Price at N992.22
The Federal Capital Territory (FCT) in Abuja will see PMS prices set at N992.22 per liter for September. Although still close to the N1,000 mark, the capital enjoys a relatively lower price compared to Borno State. Abuja’s central location and better road infrastructure reduce the cost of transporting fuel to the region, offering some relief to its residents.
However, the cost remains high for many households and businesses in the capital. Despite Abuja’s more robust economy compared to other states, rising fuel prices have sparked concerns about inflation and the cost of living, with transportation and logistics sectors feeling the immediate impact.
Dangote Refinery – Kaduna, Kano, and Sokoto States All Set at N999.22
Kaduna, Kano, and Sokoto states will experience the same PMS price of N999.22 per liter in September. These northern states, although geographically close, are impacted by distinct challenges related to fuel distribution. However, the uniform pricing indicates a standardized approach by the Dangote Refinery, likely driven by similar transportation and logistical costs.
The impact of these prices on residents and businesses in these regions could be significant, particularly in the agriculture and transport sectors that dominate the local economies. With fuel being a critical component in farming and distribution activities, higher PMS prices could lead to increased food prices and transportation costs.
Southern Nigeria: Imo and Rivers States Set at N980.22
In Southern Nigeria, Imo and Rivers states will both see PMS prices set at N980.22 per liter, slightly lower than their northern counterparts. These states, being closer to Nigeria’s oil-producing regions, benefit from shorter transportation routes and better access to refineries. However, the prices are still high compared to pre-subsidy removal levels, impacting both urban and rural dwellers.
The relatively lower price in the south may ease some financial pressure on residents, but businesses that rely on fuel for generators and transportation will still face rising operational costs. The oil-rich nature of the region also raises questions about why locals are not benefiting more from proximity to Nigeria’s crude oil production.
Oyo and Lagos States Enjoy Lowest Prices at N960.22 and N950.22
Oyo and Lagos states, located in the southwestern region, will experience the lowest PMS prices in the country. At N960.22 in Oyo and N950.22 in Lagos, residents of these states will enjoy some of the most affordable fuel prices in Nigeria for September. Lagos, in particular, benefits from its proximity to the Dangote Refinery and other key distribution centers, making transportation costs lower.
Despite the lower prices, many Lagosians and residents of Oyo are still grappling with the broader economic implications of higher fuel costs since the removal of fuel subsidies. The marginal relief in pricing will likely provide some cushion, but inflationary pressures and the high cost of living continue to challenge residents in these bustling economic hubs.
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