Three major oil marketers in Nigeria are expecting vessels carrying Premium Motor Spirit (PMS), commonly known as petrol, to arrive in the country this week.
The expected import, amounting to 141 million litres of PMS, follows the Federal Government’s full deregulation of the downstream oil sector.
This development comes after the recent increase in petrol prices by the Nigerian National Petroleum Company Limited (NNPCL), particularly for petrol supplied from the Dangote Petroleum Refinery.
Industry dealers disclosed on Tuesday that the shipment of 141 million litres of PMS was expected to land on Nigerian shores barring any unforeseen circumstances.
According to sources within the sector, the arrival of the vessels is seen as a sign of the market responding to the deregulation of petrol prices, which has allowed more room for imports.
Deregulation Sparks Increased Import Activity
One of the major marketers confirmed the expectation of the imported petrol, noting that deregulation has taken full effect in Nigeria’s downstream oil sector.
The marketer, who preferred to remain anonymous due to a lack of authorisation to speak on the matter, revealed that three oil dealers were expecting their products to arrive in the country by the end of the week.
Each vessel is said to be conveying about 35,000 metric tonnes of PMS, which amounts to a total of around 105,000 metric tonnes, equivalent to 141 million litres of petrol.
The marketer stated, “We are expecting three vessels this week, each carrying about 35,000 metric tonnes of PMS. The deregulation of the downstream sector has given room for this importation, and we are hopeful that the products will arrive as planned.”
Recent Price Hike from Dangote Refinery Fuels Imports
The importation of PMS comes on the heels of the recent price hike for petrol produced by the Dangote Petroleum Refinery and marketed by NNPC.
On Monday, NNPC announced that the petrol lifted from Dangote would be sold at prices above N1,000 per litre in the northern part of the country, with varying rates depending on the location.
According to the NNPC’s spokesperson, Olufemi Soneye, the pump price of PMS from Dangote Refinery may reach as high as N1,019 per litre in Borno State, and around N999 per litre in Abuja, Kano, Sokoto, and other northern regions.
In southern states like Rivers and Oyo, the price will be slightly lower, at N960 per litre. The lowest price, N950 per litre, is expected to be seen in Lagos and its surrounding areas.
This significant price jump follows the deregulation policy, which allows the market to determine petrol prices based on supply and demand.
Stricter Quality Checks by Regulatory Authority
In response to the influx of imported fuel, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has reiterated its commitment to stringent quality control measures.
The agency announced that all imported PMS would undergo at least three major tests before being approved for sale in Nigeria.
The tests are aimed at ensuring that the imported products meet the country’s quality and safety standards.
The arrival of these vessels is anticipated to ease the current petrol supply situation, though the ongoing price fluctuations have raised concerns among consumers.
As the country adjusts to the new deregulated market, all eyes are on how these developments will impact the cost and availability of petrol in the weeks ahead.
