NACCIMA Slams NNPC For Jaw-Dropping Fuel Price Increase In Major Cities!

This marks the second petrol price increase in just one month, following a prior rise in September when prices jumped from ₦615 to ₦897 per litre.

Journalists visiting an NNPC Retail mega station in Abuja found many motorists shocked and frustrated by the latest adjustment, emphasizing the economic challenges currently facing the nation. The price of petrol has also been raised in Lagos.

In response, NACCIMA’s National President, Dele Oye, issued a statement on Wednesday highlighting that the current prices of ₦998 and ₦1,030 per litre are placing significant strain on both businesses and households across Nigeria.

Oye warned of the potential financial repercussions of this price increase, noting that it could lead to higher transportation costs, worsen inflation, and have a detrimental effect on small and medium-sized enterprises (SMEs). He emphasized that the decision to raise prices, influenced by several fundamental factors, warrants a thorough examination of its economic impacts, particularly concerning the costs of products, services, and transportation.

He stated, “Since transportation costs are directly linked to fuel prices, this increase will act as a trigger for higher freight charges. As fuel is a key driver of inflation, rising petrol prices will further exacerbate Nigeria’s already high inflation rate.”

Oye highlighted that households will face increased expenses not only for fuel but also for everyday goods and services, creating a cycle of rising costs and economic hardship. He added that the recent increase in fuel prices will significantly impact micro and nano businesses, many of which depend on petrol generators for their operations.

Furthermore, the NACCIMA president warned that the economic climate for small and medium-sized businesses could shift from a promising expansion phase to mere survival. He explained that this shift would not only affect individual businesses but also impede job creation and hinder economic growth in communities across Nigeria.

Oye called on the Nigerian National Petroleum Corporation Ltd. to adopt a more supportive approach toward the operations of Dangote’s refinery, believing that this could stabilize local fuel prices, reduce Nigeria’s dependence on foreign fuel, and enhance the country’s energy independence.

He also urged the Central Bank of Nigeria to strengthen its efforts in implementing monetary strategies that stabilize or strengthen the Naira. Oye pointed out that as the costs of importing goods rise due to currency depreciation, local fuel prices are likely to continue escalating.

“It is crucial that we advocate for robust strategies that not only stabilize fuel prices but also enhance domestic production capabilities, allowing the Nigerian economy to navigate these turbulent times more effectively. As stakeholders, NACCIMA will persist in engaging with government entities to foster a more favorable environment for growth and sustainability,” he concluded.