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Nigeria’s Petrol Demand Drops to 38.9 Million Litres Daily

Petrol

Nigeria’s daily petrol consumption has fallen to 38.9 million litres in June 2025, a notable decline from 44.3 million litres in May, offering some relief to households grappling with rising fuel costs. This 12.2 per cent drop, reported by the Nigerian Midstream and Downstream Petroleum Regulatory Authority, reflects changing consumption patterns as citizens adapt to economic pressures. For families in bustling cities like Lagos and quieter regions like Rivers State, this shift could mean less strain on fuel budgets, though challenges remain in ensuring a steady supply and affordability.

The reduction in demand comes amid efforts to stabilise Nigeria’s fuel market, long plagued by price volatility and distribution bottlenecks. Lagos, the country’s commercial hub, accounted for 24 per cent of petrol trucked out in June, moving 275.95 million litres to fuel stations across the state. This dominance underscores Lagos’s role as Nigeria’s economic engine, where commuters and businesses rely heavily on petrol for daily operations. Other key states, including Ogun with 10.2 per cent and the Federal Capital Territory with 7.8 per cent, also saw significant volumes, while Rivers State, a critical oil-producing region, contributed to the distribution network, supporting local transport and industries like shipping and manufacturing.

Also Read: Rivers Police Hosts Capacity Building Lecture For Officers

The data highlights a broader trend of declining fuel use, with June’s total petrol truck-outs dropping to 1.17 billion litres from 1.33 billion in May, a 12.3 per cent decrease. This reduction aligns with a year-to-date average daily consumption of 40.7 million litres, down from 45.8 million in 2024. Analysts attribute the drop to higher fuel prices, which have pushed Nigerians to conserve fuel or explore alternatives like public transport. For instance, in Rivers, where commuters often rely on tricycles and buses, residents are feeling the pinch but also adapting by carpooling or cutting non-essential trips.

Despite the lower demand, supply chain issues persist. The Nigerian National Petroleum Company Limited remains the sole importer of petrol, creating a bottleneck that affects pricing and availability. Industry experts note that private refineries, such as those in Rivers, are ramping up efforts to boost local production, potentially easing import reliance. However, challenges like infrastructure delays and regulatory hurdles continue to slow progress.

For everyday Nigerians, the drop in demand offers mixed outcomes. Drivers in Lagos face shorter queues at pumps, but prices remain high, eating into incomes. In Rivers, where fuel supports both local businesses and port activities, the reduced consumption could stabilise supply, but hasn’t yet translated to lower costs. The authority’s data also shows depot stock levels at 614.94 million litres in June, down 10.5 per cent from May, signalling tighter reserves that could pose risks if demand spikes.

Looking ahead, experts urge the government to invest in transport infrastructure and alternative energy to sustain this trend. For now, Nigerians are adjusting to a leaner fuel landscape, hoping for policies that make life more affordable. As one Rivers driver put it, “Less fuel use is good, but we need prices to match our reality.”

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