Few days ago, Malam Mele Kyari, the Group Managing Director and Chief Executive Officer of the Nigerian National Petroleum Company Limited (NNPC), stirred heated reactions when he said Nigerians will pay between N320 and N340 per litre after the removal of petrol subsidy in 2022.
Though the minister of finance, budget and national planning, Zainab Ahmed, said the subsidy will be replaced with a N5000-a-month transportation grant to the poorest Nigerians, many Nigerians have rejected the government’s plan.
Amid the heated discussions on the government’s plan, a report by The Cable Index shows that Nigeria’s petrol pump price is the lowest in West Africa.
The report sourced its data from Globalpetrolprices.com, a platform that tracks retail fuel prices in over 150 countries and used the FX rate of N411.64 per dollar to arrive at the prices of petrol in some selected African countries.
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- Angola – N112.78 per litre
- Algeria – N136.25 for a litre
- Nigeria – N165.89 per litre
- Ethiopia – N225.16 per litre
- Egypt – N242.04 per litre
- Togo – N357.30 per litre
- Benin – N368 per litre
- Congo – N409.17 per litre
- Gabon – N428.10 per litre
- Mozambique – N444.98 per litre
- Ghana – N482.03 per litre
- Kenya – N482.03 per litre
- South Africa – N498.08 per litre
- Uganda – N529.36 per litre
- Morocco – N534.72 per litre.
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Why the difference in petrol prices
All countries have access to the same petroleum prices at the international markets. However, they impose different taxes or bear cost through subsidy payments.
According to Globalpetrolprices, the differences in prices across countries are due to the various taxes and subsidies they impose on the product.
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According to TheCable Index’s findings, Nigeria has the third cheapest petrol price in Africa and the lowest in West Africa.
The N165.89 per litre price also places Nigeria as the seventh cheapest nation in terms of fuel pump price in the world.
Nigerian Labour Congress reacts to projected price of petrol
The president of the congress, Ayuba Wabba, in a statement released in Abuja said members of the NLC would not take the bait thrown by the federal government.
Wabba said the announcement made by Kyari that fuel would cost as high as N340 by February 2022 is comical.