Nigerians are grappling with a severe dual crisis marked by chronic fuel shortages and a dramatic rise in petrol prices. Despite being one of the world’s largest oil producers, Nigeria relies heavily on imported petroleum products due to its limited refining capacity.
Petrol stations operated by the Nigerian National Petroleum Corporation (NNPC) offer the lowest fuel prices compared to private operators. However, when NNPC raises its prices, independent stations follow suit.
Currently, long queues at petrol stations see prices ranging from $0.56 per litre at NNPC stations to $0.74 or more elsewhere. The NNPC attributes its difficulties to “financial strain” and rising global prices, a statement that follows its recent record profit of approximately $2 billion and a previous denial of its significant debt.
In addition to fueling vehicles, many Nigerian households depend on petrol and diesel to power generators due to unreliable public power supply. The ongoing fuel shortages are exacerbating the cost-of-living crisis, with inflation already spiking following government reforms to end a fuel subsidy and adjust the currency.
