The average price of petrol charged by private depots and Dangote Refinery yesterday fell to N880.5 per litre from N881.5 as competition heightened in the downstream sector.

Private depots, namely Matrix, A.Y.M Shafa and Sigmund Zamson, operating mainly in Warri, Delta state and Calabar, Cross River state, reduced price to N889 per litre from N890.

Similarly, Dangote Petroleum Refinery reduced its gantry price to N872 per litre from N873 per litre while Pinnacle’s price remained unchanged at N872 per litre, yesterday.

The Major Energies Marketers Association of Nigeria (MEMAN) last week put the landing cost of the product at N829.77 per litre, representing a 5.69% decrease compared to the N877 per litre former gantry of Dangote refinery.

Checks by Vanguard showed that Nigerians have not yet felt the impact of the sharp drop as prices at the filling stations such as MRS, Ardova and NNPC Limited stood at between N920 and N922 per litre in Lagos.

The price difference has been attributed to challenges in the foreign exchange (forex) market, where the U.S. dollar trades at N1,443.77 on the black market.

In its latest Energy Bulletin, published on its website, MEMAN stated that the decrease was based on a Brent Crude oil benchmark of $67.02 per barrel.

According to MEMAN, “the average 30 days report for PMS stood at N829.77, while the Spot (ASPM) at N815.38 per liter and Spot (NPSC-NOJ) at N815.40 per liter.

“That of AGO for an average 30 days stood at N974.50 per liter with the Spot at N971.80 per liter. ATK for an average 30 days at N962.53 per liter and Spot price at N983.53 per liter.”

Speaking in an interview with Vanguard, the National President of Oil and Gas Service Providers Association of Nigeria, OGSPAN, Mazi Colman Obasi, said: “The downstream sector has been deregulated and competition should be expected. It is expected that the competition will present more options for consumers in the domestic market.”

(VANGUARD)