Low petrol price not market-driven, shutdown looms – Marketers

The Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) has warned that many filling stations may soon close down unless the Federal Government helps them with financial support or allows petrol to be sold at its real market price.

PETROAN’s president, Billy Gillis-Harry, said on Monday that the current pump prices are too low and do not match the true cost of importing, refining, and distributing petrol.

Last week, petrol prices in Abuja dropped to between N930 and N945 per litre, depending on where you bought it. But Gillis-Harry said these prices are not guided by normal market forces like supply and demand.

Instead, the prices are artificially low, which he says is dangerous for the market.

He explained that because the prices are not realistic:

Many marketers will soon run out of money to buy more petrol.

This could lead to fuel shortages.

If shortages happen, Nigerians may face new price hikes or scarcity.

He stressed that petrol needs to be sold at a fair and honest price that reflects real market conditions. Gillis-Harry also said the market is becoming too dependent on the Dangote Refinery, which he believes is not healthy for competition or long-term stability.

According to him, the earlier Nigeria returns to fair and correct pricing, the better the fuel supply will be for everyone.

“People are already complaining about what is happening in the market,” he added.