Petrol Price Nears N1,400 Per Litre as Market Pressures Mount

Fuel cost surge deepens inflation fears nationwide

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By A1 News Desk | Abuja, Nigeria | May 1, 2026

Petrol prices across Nigeria are edging closer to N1,400 per litre following a fresh price adjustment by the Dangote Petroleum Refinery, intensifying pressure on households and businesses already grappling with rising living costs.

Market Dynamics Drive Increase

Industry sources attribute the rise to foreign exchange volatility, supply constraints, and deregulated pricing mechanisms.

Ripple Effect on Economy

Transport fares, food prices, and general services are expected to rise further as fuel costs climb.Industry stakeholders warn the situation could worsen. Billy Gillis-Harry, president of the Petroleum Products Retail Outlet Owners Association of Nigeria, said continued instability in the Middle East could push petrol prices above 1,500 naira per liter.

He attributed the volatility to global pricing pressures and urged the government to introduce measures to cushion the impact on consumers, noting that higher crude prices could provide fiscal space for intervention.

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Public Anxiety Grows

Consumers and businesses alike are expressing concern over the sustainability of current price levels.Economist Bismarck Rewane suggested the government could consider fixed-price crude supply arrangements for domestic refineries to stabilize fuel prices.

The price surge follows months of increases, with petrol rising sharply since February, when Brent crude traded at about $66 per barrel. The escalation intensified after disruptions linked to tensions in the Middle East affected global supply routes.

In Washington, Donald Trump has signaled plans to maintain pressure on Iran, including a naval blockade aimed at curbing its oil exports. U.S. officials say the strategy is beginning to strain Iran’s energy sector, though it has also contributed to tightening global supply.

Analysts say Nigeria, Africa’s largest oil producer, is benefiting from higher crude prices but continues to face domestic challenges, including reliance on international pricing and limited refining capacity, which expose consumers to global market shocks.
Analysts warn that without stabilisation measures, fuel price escalation could further strain Nigeria’s fragile economy.