Nigeria Has the Cheapest Petrol in West Africa — Report

Despite widespread complaints over soaring petrol prices, Nigeria currently has the lowest petrol cost in West Africa and ranks 13th globally for affordability, according to a new report by globalpetrolprices.com.

The report notes that even if petrol is sold at ₦1,000 per litre, it still remains significantly below the global average price of ₦1,922 per litre. Nigeria’s average petrol price is pegged at $0.60 (approximately ₦940), making it one of the most affordable globally following the halt of naira-based petroleum sales by the Dangote refinery.

Comparatively, other West African countries pay much more:

• Liberia: $0.87 (₦1,365)
• Ghana: ₦1,611
• Benin Republic: ₦1,817
• Togo: ₦1,778
• Cape Verde: ₦2,089
• Guinea: ₦2,170
• Burkina Faso: ₦2,223
• Sierra Leone & Ivory Coast: ₦2,172
• Senegal: ₦2,589
• Mali: ₦2,235

Globally, Libya offers the cheapest petrol at just ₦42 per litre, followed by Iran (₦45) and Venezuela (₦54). In contrast, Hong Kong tops the chart with the highest petrol price at ₦5,410 per litre.

Globalpetrolprices.com attributes these wide variations to government-imposed taxes and subsidies. “All countries have access to the same petroleum prices as international markets but then decide to impose different taxes. As a result, the retail price of gasoline is different,” the report stated.

The U.S., despite being a wealthy nation, maintains relatively low gas prices at around ₦1,413 per litre, an exception to the rule that richer countries often have higher fuel prices.

Until May 29, 2023, Nigerians bought subsidized petrol at below ₦200 per litre. However, President Bola Tinubu declared the removal of the fuel subsidy at his inauguration, leading to significant price increases that have sparked discontent among citizens.

Currently, petrol in Nigeria is sold between ₦920 and ₦970 depending on the location.