NLC Rejects Petrol Price Hike and Demands More Nigerian Crude for Refineries

The Nigeria Labour Congress has condemned another increase in petrol prices, calling it “avoidable and unacceptable” and asking why the federal government has not done more to supply Nigerian crude to the Dangote Petroleum Refinery.

NLC acting General Secretary Benson Upah said the increase would deepen the economic strain on ordinary Nigerians, especially workers and low-income households facing high transport, food and other living costs. “This adds to the increasing difficulties of the average Nigerian for whom life has been Hobbesian,” he said.

The union’s reaction followed a 65-naira-per-litre increase by the Dangote refinery on Saturday, which lifted its gantry price from 1,200 to 1,265 naira. The move came three days after the refinery raised the price from 1,185 to 1,200 naira. It was the company’s third adjustment in eight days, following an increase from 1,165 to 1,185 naira on Aug. 21.

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This adds to the increasing difficulties of the average Nigerian for whom life has been Hobbesian.

Together, the three increases added 100 naira to the refinery price, an 8.6% rise in eight days. Petrol prices have since varied across the downstream market as marketers add transport, logistics and distribution costs. Prices have reportedly reached about 1,310 naira per litre in parts of Lagos and Ogun, and 1,350 naira or more in some northern states and areas farther from the refinery. In some locations, prices are approaching 1,400 naira.

Upah said the increase was difficult to justify given international oil-market conditions and Nigeria’s expanding domestic refining capacity. “The latest increase is avoidable and unacceptable in light of falling prices in the international market and our local capacity to sell more crude oil to Dangote. Why are we not doing so?” he said.

The latest rise comes as Nigerians continue to feel the effects of the 2023 removal of the petrol subsidy. The change exposed consumers to crude prices, foreign-exchange movements and other market costs, after years of heavy government regulation.

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The latest increase is avoidable and unacceptable in light of falling prices in the international market and our local capacity to sell more crude oil to Dangote. Why are we not doing so?