The landing cost of imported petrol has dropped to N797.66/litre, a development that is expected to bring relief to Nigeria’s fuel market. This decrease in landing cost is attributed to the fluctuations in global crude oil prices and the exchange rate between the naira and the US dollar.
The drop in petrol landing cost is expected to lead to a decrease in fuel prices at the pumps. This will bring relief to motorists and commuters who have been bearing the brunt of high fuel prices. The Nigerian National Petroleum Corporation (NNPC) is expected to adjust the pump price of petrol to reflect the new landing cost.
The global crude oil prices have been on a downward trend in recent weeks. This decline in crude oil prices has led to a decrease in the cost of importing petrol into the country. The Brent crude oil price, which is the benchmark for Nigeria’s crude oil, has dropped to around $80 per barrel.
The exchange rate between the naira and the US dollar has also played a significant role in the drop in landing cost. The Central Bank of Nigeria (CBN) has been working to stabilize the exchange rate, which has helped to reduce the cost of importing petrol.
The NNPC has been working to ensure that the country has a stable supply of petrol. The corporation has been importing petrol to supplement the local production. With the drop in petrol landing cost, the NNPC is expected to reduce the pump price of petrol.
According to energy expert, Mr. Bala Zakka, the drop in landing cost is a welcome development for the fuel market. “The decrease in landing cost will lead to a decrease in fuel prices at the pumps. This will bring relief to motorists and commuters who have been bearing the brunt of high fuel prices.”