Industry experts have predicted a significant reduction in petrol prices in 2025, with rates potentially falling below ₦500 per litre. This anticipated drop comes as the Federal Government’s deregulation policies, stabilized exchange rates, and increased local refining capacity reshape the downstream sector. Currently, petrol prices hover between ₦900 and ₦950 per litre across fuel stations.
Local refining operations are pivotal to this transformation. The Dangote Refinery now contributes seven million litres of petrol daily to the domestic market, while the Port Harcourt and Warri refineries have resumed production, adding millions of litres to the supply chain. Deregulation has also spurred competition among producers, which is already leading to reduced prices.
Industry leaders noted that the Federal Government’s policy of selling crude oil to refineries in exchange for naira payments is easing inflation and foreign exchange pressures. Modular refineries are also set to expand petrol production. Experts believe these developments will lead to a more competitive market, benefiting consumers through lower prices and better product quality.