The National President of the Petroleum Products Retail Outlets Owners Association of Nigeria, Billy Gillis-Harry, has called for targeted government intervention, including transport subsidies, to ease the pressure of rising fuel costs on Nigerians amid persistent volatility in global oil markets.
International crude prices recorded fresh gains after a sharp downturn earlier in the week, reflecting continued uncertainty driven by tensions in the Middle East. Brent crude climbed above the $100 per barrel mark, while West Texas Intermediate also posted notable increases, reversing part of the steep losses triggered by earlier geopolitical developments.
The fluctuations followed remarks by Donald Trump, indicating a pause in planned military escalation against Iran, which initially sent oil prices tumbling before markets rebounded on renewed supply concerns. Despite signals of possible diplomatic engagement, Iran denied any direct negotiations, reinforcing uncertainty across energy markets.
In Nigeria, the impact of global crude movements has quickly filtered into domestic pricing. The Dangote Petroleum Refinery and Petrochemicals recently adjusted its ex-depot price of petrol upward from ₦1,175 to ₦1,245 per litre, citing rising crude costs and shipping expenses. The refinery also revised its coastal pricing structure, reflecting broader international market pressures.
Speaking after a meeting with Bola Ahmed Tinubu in Lagos, Aliko Dangote acknowledged that Nigeria remains exposed to global shocks despite not being directly involved in the conflict. He warned that prolonged instability could worsen economic conditions, particularly across African economies already facing fiscal constraints.
Gilllis-Harry, in a televised interview, emphasised the need for practical and immediate measures to cushion the effect of rising energy costs. He suggested that temporary subsidies targeted at the transport sector, especially commercial operators, could help stabilise fares and limit the broader inflationary impact on households.
He also advocated for accelerated investment in alternative energy sources, particularly gas, noting that Nigeria has the capacity to expand its domestic gas utilisation. According to him, scaling up compressed natural gas (CNG) infrastructure and supporting the gradual introduction of electric vehicles would provide more sustainable relief over time.
The PETROAN president maintained that marketers are not exploiting the current situation, stressing that profit margins remain tight despite higher pump prices. He explained that operators continue to prioritise steady product supply, often navigating higher procurement and logistics costs to keep stations operational.
Gilllis-Harry further disclosed that the association is collaborating with government-backed initiatives such as the Presidential Compressed Natural Gas Initiative to deepen gas adoption nationwide. He added that marketers are also exploring bulk purchasing strategies to improve supply efficiency and reduce distribution bottlenecks.
He credited the Dangote refinery with improving product availability in the country, noting that its operations have helped sustain supply during a period of heightened global uncertainty.
Analysts warn that unless global tensions ease, continued volatility in crude oil prices could sustain upward pressure on fuel costs, with broader implications for inflation, transportation, and economic stability.