Lagos, Nigeria | September 9, 2025
Petroleum product operators have indicated plans to increase pump prices following the continued closure of private depots across the country, a development that has heightened supply concerns.
According to industry sources, the prolonged shutdown of depots is driving up ex-depot costs, leaving marketers with limited access to supplies. This has triggered fears of scarcity in major cities, with queues gradually building up at some filling stations.
Operators explained that the inability to access products from depots has forced many marketers to rely on alternative sources at higher rates, making a price adjustment inevitable.
“We cannot continue to sell at the old rates when landing costs and transportation expenses have gone up. Unless depots reopen and supply stabilizes, Nigerians should expect an increase in prices,” a senior member of a marketers’ association said.
The situation is further compounded by rising operational expenses, foreign exchange volatility, and lingering distribution challenges. Industry observers warn that unless government intervenes urgently, the impending hike could worsen inflationary pressures and deepen the cost-of-living crisis.
Meanwhile, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has yet to issue an official statement on the matter, but insiders suggest talks are ongoing to avert a full-blown supply crisis.