In April 2025, the average retail price of Premium Motor Spirit (PMS), commonly known as petrol, rose to ₦1,239.33 per litre, according to the latest Premium Motor Spirit (Petrol) Price Watch released by the National Bureau of Statistics (NBS) on Wednesday.
This increase marks a staggering 76.73% rise from the average price of ₦701.24 recorded in April 2024, underscoring the continued volatility in fuel prices across the country despite various attempts to stabilise the downstream petroleum sector.
However, on a month-on-month basis, the price dropped by 1.77%, falling from ₦1,261.65 in March 2025.
Regional Price Variations Across Nigeria
The price fluctuations are evident at both the state and zonal levels. Imo State recorded the highest retail price at ₦1,588.50, followed by Jigawa and Sokoto, with prices at ₦1,567.84 and ₦1,550.00, respectively. On the other end of the spectrum, Yobe State had the lowest average price at ₦970.00, with Kwara and Osun States following closely at ₦1,014.85 and ₦1,042.49, respectively.
In major urban centers, petrol is priced at approximately ₦935 per litre in Abuja and ₦880 per litre in Lagos.
At the zonal level, the South East recorded the highest average price at ₦1,341.71, while the South West posted the lowest at ₦1,138.64. A breakdown of zonal averages is as follows:
- South East: ₦1,341.71
- North West: ₦1,325.90
- North Central: ₦1,242.94
- South South: ₦1,222.54
- North East: ₦1,166.27
- South West: ₦1,138.64
Impact of Price Cuts by Dangote Refinery
The price hikes follow a recent reduction in the ex-depot price of petrol to ₦835 per litre by Dangote Refinery in mid-April. This marks the refinery’s second price cut within a week, bringing the price of petrol in Lagos to ₦890 per litre, down from ₦920, with similar trends observed in Abuja.
Energy Prices and Inflation Perception
The Central Bank of Nigeria (CBN)’s latest Inflation Expectation Survey Report revealed that energy prices particularly petrol, diesel, and electricity remain the top factors driving inflation concerns in Nigeria. A staggering 91% of survey respondents cited energy prices as a significant contributor to inflation perceptions in April 2025.
Transportation costs, covering all modes of travel, also ranked as a key factor for 86.7% of respondents.
Subsidy Removal and Inflationary Pressures
The removal of fuel subsidies by President Bola Tinubu shortly after assuming office in May 2023 had a major impact on inflation, pushing the rate to 24.66%. However, the most recent figures show a slight easing in inflation to 23.71% in April 2025, down from 24.23% in March. On a month-on-month basis, inflation slowed to 1.86% in April, down from 3.90% in March indicating a potential sign of economic recovery.
