Africa’s largest refinery has cut fuel prices again, strengthening its growing influence over Nigeria’s energy market at a time when many African economies are still struggling with high fuel costs, currency pressures and stubborn inflation.
Dangote Petroleum Refinery announced on Saturday that it had reduced the ex-depot price of petrol to approximately $0.81 (N1,250) per litre from $0.83 (N1,275), while diesel prices were cut by a more significant 5.6% to about $1.10 (N1,700) per litre from $1.16 (N1,800).
The latest reduction comes as global oil markets show signs of stabilising following renewed diplomatic efforts between the United States and Iran, easing fears of disruptions along the Strait of Hormuz, a critical route through which roughly a fifth of the world’s oil supply passes.
Diesel powers trucks, factories, farms, mines and generators across Nigeria’s economy. Lower diesel costs can help reduce transportation expenses, ease pressure on manufacturers and support businesses that rely heavily on self-generated electricity.
For Nigeria, where energy costs remain one of the biggest drivers of inflation, the move could offer some relief to businesses and consumers already grappling with elevated living costs.
