Nigerians may soon face a new hike in petrol prices as the pump price of Premium Motor Spirit (PMS), popularly known as petrol, could rise above ₦1,000 per litre.
This comes after President Bola Ahmed Tinubu approved a 15% tariff on imported fuel, a policy designed to take effect after a 30-day transition period, ending on November 21, 2025.
According to government officials, the move aims to protect local refineries such as the Dangote Refinery and those operated by Nigerian National Petroleum Company Limited (NNPCL) from being undercut by cheaper imported products. It is also part of the administration’s long-term strategy to encourage domestic refining and reduce dependence on foreign fuel imports.
However, petroleum marketers and depot operators have expressed concern that the tariff could further increase pump prices, worsening the already severe cost of living crisis.
In a telephone interview with journalists on Thursday, multiple depot operators familiar with the situation warned that the decision could push prices even higher.
“As it is, the price of fuel may go above ₦1,000 per litre. I don’t know why the government will be adding more to people’s suffering,” one operator lamented.
Currently, petrol is sold for around ₦920 per litre in most parts of the country, depending on location and logistics costs. Analysts say that with the new tariff, transportation and production costs will likely rise further, impacting food prices, inflation, and general household expenses.
Economists have also cautioned that while protecting local refineries is important, such a policy should be gradual and well-coordinated to avoid economic shocks.
The Nigerian government, however, maintains that local refining will stabilize fuel supply and pricing in the long term once refineries like Dangote, Port Harcourt, and Warri reach full capacity.