Petrol Price Hits ₦1,400 as Rising Crude Costs Squeeze Nigerians and Businesses.

Petrol prices have risen across Nigeria following a sharp increase in international crude oil prices, adding fresh pressure on households, commuters and businesses already facing elevated operating costs.

MRS filling stations have increased their pump price to ₦1,400 per litre from ₦1,300 in Lagos and surrounding areas. NNPC Limited stations have also raised their price to ₦1,375 per litre from ₦1,275, while some independent marketers are selling at about ₦1,400, up from approximately ₦1,360.

The latest retail adjustments followed an increase in Dangote Petroleum Refinery’s petrol gantry price to ₦1,350 per litre, from ₦1,265. The refinery’s latest adjustment represents an increase of ₦85 per litre, or about 6.7 per cent.

The increase comes as Brent crude prices rose above $100 per barrel, with Reuters reporting that the benchmark traded above $107 on Monday, driven by escalating geopolitical tensions and growing concerns over global oil supply.

Nigeria’s deregulated downstream petroleum market means changes in global crude prices can influence the cost of locally refined products. Refiners and other players also contend with expenses linked to logistics, freight, exchange rates and other supply-chain operations.

The impact is already being felt across the distribution network as marketers replenish inventories at higher wholesale prices. In Abuja, checks by The ICIR showed MRS selling at ₦1,395 per litre, NIPCO at ₦1,430 and Mobil at ₦1,400.

Transport operators are likely to feel the impact immediately, as higher petrol costs increase the daily expenses of commercial buses, taxis and tricycles, potentially forcing operators to raise fares for passengers.

The effect could extend to food distribution, agriculture, retail, manufacturing and logistics, where fuel is required to transport goods or operate equipment. Households relying on petrol-powered generators may also see their electricity costs rise.

For small and medium-sized enterprises, rising fuel and transportation costs could further squeeze profit margins, prompting some operators to raise prices, cut spending, postpone investments or reduce their workforce if the pressure continues.

Victoria Ibezim-Ohaeri, Executive Director of Spaces for Change, warned that households and businesses across manufacturing, agriculture, construction, retail and logistics could face increased costs.

Economist and communications expert Clifford Egbomeade described the development as a cost shock, noting that elevated crude prices could raise expenses for diesel, transport, freight and other energy-intensive activities.

Mazi Colman Obasi, National President of the Oil and Gas Services Providers Association of Nigeria, said sustained crude prices above $100 per barrel could place further pressure on domestic petrol prices.

With transportation and energy costs feeding into the prices of goods and services, the latest increase could add another layer of inflationary pressure on Nigerians.