Nigeria's daily petrol consumption has dropped by 28% over the past two years, leading to idle pump attendants at filling stations across the country as motorists drastically reduce fuel purchases, according to data from the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).
The figures, released on August 31, 2025, show that consumption of Premium Motor Spirit (PMS) fell from 68.35 million litres per day in June 2023—when President Bola Tinubu removed the fuel subsidy—to 49.27 million litres in June 2025.
This sharp decline, attributed to soaring pump prices and rising living costs, has left many fuel stations with low patronage, forcing marketers to cut staff hours and lament slow sales.
The subsidy removal, announced by Tinubu in his May 29, 2023, inauguration speech, ended decades of government payments that cost the nation tens of trillions of naira annually.
Petrol prices immediately surged from N195 to N448 per litre in Lagos and up to N557 in Abuja, climbing further to N617 within a month.
Since the commissioning of the Dangote Refinery, prices have fluctuated weekly, exacerbating the situation for consumers.At RYBL Services Limited in Karshi, Abuja, station manager Ibrahim Gambo reported a drastic slowdown: "The market is not moving well. We used to have three pump attendants, but now we keep only one. It takes about two months to sell a single 30,000-litre tanker. Before, people came with jerry cans, but now you hardly see that." Gambo attributed the drop to high prices, noting that sales are a fraction of what they were two years ago.
Independent Petroleum Marketers Association of Nigeria (IPMAN) Public Relations Officer, Chief Chinedu Ukadike, echoed the concerns: "This is a trying time for independent marketers. Many only sell one truck in one or two months." He highlighted the broader impact on businesses reliant on fuel sales.
While petrol demand slumps, there's a surge in Compressed Natural Gas (CNG) usage, with long queues at outlets in Abuja and other cities.
CNG prices range from N230 to N235 per kilogram, making it far more affordable than petrol.
The trend contrasts with earlier post-subsidy data; for instance, consumption fell 28% to 48.43 million litres in June 2023 from 66.9 million pre-removal.
Subsequent reports showed further dips, such as 35% to 46.38 million litres by July 2023 and 33.58% to 44.3 million by October 2023.
However, recent scarcity issues in September 2024 pushed consumption up to 50 million litres daily, partly due to smuggling fueled by subsidy re-emergence and NNPC's sole importer status.
Marketers like Swift Oil Limited's CEO, Stillian Mitakev, argue that full deregulation is needed to resolve shortages and smuggling, as NNPC benefits from discounted foreign exchange rates unavailable to private players.
"No marketer will import petrol and sell below landing cost," he said.
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