Latest Petrol Price Hike News, Update On Fuel Scarcity For November 20th, 2024

As Nigerians continue to groan over the recent increase in fuel prices by the Nigerian National Petroleum Company (NNPC) Limited, Naijaonpoint brings you the latest update on petrol scarcity, fuel price increase and Govt/citizens’ reactions.

The National Bureau of Statistics (NBS) has revealed that the average retail price for Premium Motor Spirit (petrol) in October 2024 stood at N1,184.83, marking an 87.88% increase compared to the N630.63 per litre recorded in October 2023.

Month-on-month, the report shows a 14.98% rise from the N1,030.46 average retail price recorded in September 2024.

The NBS report highlighted that on a state-by-state basis, Ebonyi State recorded the highest average petrol price at N1,292.86, followed by Jigawa at N1,288.18 and Borno at N1,283.79.

In contrast, Delta, Nasarawa, and Lagos States had the lowest prices at N1,050.00, N1,063.68, and N1,080.95, respectively.

Regionally, the South East Zone reported the highest average petrol price at N1,256.76, while the North-Central Zone recorded the lowest at N1,132.94, according to the report.

The Nigerian National Petroleum Commission (NNPC), barely two months after missing its September completion deadline, has provided reasons for the delay in delivering the much-anticipated Port Harcourt Refinery Company (PHRC).

In an interview with Punch on Monday, the NNPC Chief Corporate Communications Officer, Olufemi Soneye, attributed the delay to unforeseen risks and challenges associated with the rehabilitation of the brownfield project.

“You may recall that mechanical completion of the PHRC revamp was successfully achieved several months ago, marking a significant milestone in the project. Following this, we began the commissioning of critical equipment and process units,” Soneye said.

He explained that the complexity of brownfield projects often brings unexpected obstacles but assured that the issues encountered have been resolved.

The Dangote Petroleum Refinery is actively pursuing funding to secure billions of dollars for crude oil imports and ramp up production capacity, according to recent reports.

Despite launching a naira-for-crude agreement last month, which facilitated the supply of four cargoes, the refinery is still in need of significant financing to meet its full operational potential.

A report from the Financial Times on Sunday revealed that Chairman of the Dangote Group, Aliko Dangote, is negotiating with commercial banks, development lenders, oil traders, and other stakeholders to secure funds.

Insiders estimate that around $2 billion would be required every 90 days to maintain a baseline supply of 300,000 barrels of crude per day (b/d).

The refinery, which has a maximum capacity of 650,000 b/d, needs additional crude oil to achieve this target.

Earlier this year, a senior Dangote executive, Devakumar Edwin, disclosed that the refinery had sourced crude from the U.S. and Brazil and was in talks with African producers like Libya and Angola.

Last week, the refinery entered an off-take agreement with the Independent Petroleum Marketers Association of Nigeria (IPMAN) to distribute refined products, including petrol and diesel, directly from the plant.