Nigeria’s fuel price for September 2024 is shaping up to follow the same volatile pattern in August. As we look ahead, it’s clear that the price of Premium Motor Spirit (PMS), Automotive Gas Oil (AGO), Liquefied Petroleum Gas (LPG), and Aviation Turbine Kerosene (ATK) will remain high.
As of September 9, 2024, fuel prices in Nigeria have seen a significant rise across different fuel types. Based on the latest market data, here’s an updated forecast and analysis for Premium Motor Spirit (PMS), Automotive Gas Oil (AGO), Aviation Turbine Kerosene (ATK), and Liquefied Petroleum Gas (LPG):
Premium Motor Spirit (PMS)
PMS, or petrol, has seen a sharp increase, with prices varying across suppliers. Currently, PMS prices range from ₦945 to ₦1,095 per litre. Major factors driving these prices include rising global crude oil costs and the ongoing depreciation of the Naira. These are depot prices.
Current Prices:
- Nipco: ₦945
- Coolspring: ₦985
- Mrs: ₦990
- Aiteo: ₦990
- Wosbab: ₦995
- Integrated: ₦995
- Shema: ₦1,005
- Bovas: ₦998
- Menj: ₦1,105
- Emadeb: ₦1,095
Revised Forecast:
- Expected PMS price for September: ₦945-₦1,05 per litre.
- Driving Factors: High global oil prices, currency depreciation, and increased landing costs.
Automotive Gas Oil (AGO)
Diesel prices remain high, influenced by demand from industries and power generation. AGO prices range from ₦970 to ₦1,125 per litre. The reliance on diesel for electricity generation continues to put upward pressure on prices.
Current Prices:
- TMDK: ₦970
- Obat Oil: ₦1,100
- African Terminal: ₦1,100
- AIPEC: ₦1,110
- Integrated: ₦1,125
- Ibeto: ₦1,100
- IBACHEM: ₦1,100
- Dangote: ₦1,075
- Aiteo: ₦1,115
- Nipco: ₦1,105
Revised Forecast:
- Expected AGO price for September: ₦1,000-₦1,130 per litre.
- Driving Factors: Strong industrial demand, high global oil prices, and limited power supply alternatives.
Aviation Turbine Kerosene (ATK)
ATK prices have also surged, making air travel more expensive. The price range for ATK is currently between ₦1,180 to ₦1,235 per litre, driven by global oil market trends and supply chain inefficiencies.
Current Prices:
- Coolspring: ₦1,235
- Dangote: ₦1,180
Revised Fuel Price Forecast:
- Expected ATK price for September: ₦1,200-₦1,250 per litre.
- Driving Factors: Increased aviation demand, supply chain issues, and high crude oil prices are the primary contributors to the surge in ATK prices. Exchange rate volatility also plays a role, further pushing up operational costs for airlines.
Liquefied Petroleum Gas (LPG)
LPG prices have remained relatively stable compared to other fuels, but they are still high due to growing domestic demand and limited infrastructure investment. The current price for LPG stands uniformly at ₦1,065 per kilogram across major suppliers.
Current Prices:
- Nipco: ₦1,065
- Navgas: ₦1,065
- Ardova: ₦1,065
- Rainoil: ₦1,065
- 11plc: ₦1,065
- Rano: ₦1,065
Revised Forecast:
- Expected LPG price for September: ₦1,060-₦1,070 per kilogram.
- Driving Factors: High domestic demand, inadequate supply chain infrastructure, and limited local production capabilities.
Across all fuel types—PMS, AGO, ATK, and LPG—Nigerians can expect prices to stay high or rise further throughout September. The key drivers are high global crude oil prices, the Naira’s continued depreciation, and insufficient local refining capacity. In particular:
- PMS and AGO prices are subject to global oil price trends and importation costs, with the removal of fuel subsidies further exposing them to market forces.
- ATK prices remain high due to increasing demand from the aviation industry and supply chain constraints.
- LPG prices are expected to stay relatively stable, although infrastructure limitations continue to cap supply and push prices higher than they might otherwise be.
The Nigerian government’s ability to stabilise prices in the near term remains limited, and without major reforms in the energy sector, consumers should brace for continued volatility.
