The price of diesel in Nigeria has reached a new high, surpassing N2,000 per litre for the first time, according to a recent market survey by DailyPost. On Friday, the retail price of Automotive Gas Oil (AGO), commonly known as diesel, was reported to be between N2,000 and N2,020 at various filling stations, including AA Rano, Empire Energy, and Ranoil in Abuja and its surrounding areas.

This increase represents a jump of N300 to N320 per litre compared to previous prices, which ranged from N1,700 to N1,800. The surge in diesel prices follows a hike by depot owners, who raised their prices to N1,900 per litre. Key players in the market, such as Ranoil Delta and the Nigerian Independent Petroleum Company (NIPCO) in Warri, have already adopted these new rates, as reported by Petroleumprice.ng.

The recent spike in diesel prices comes in the wake of rising crude oil costs, which have seen Brent crude and West Texas Intermediate (WTI) prices fluctuate around $94.74 and $90.34 per barrel, respectively. Earlier reports indicated that Dangote Refinery had also increased its gantry diesel price by N100, bringing it to N1,850 per litre as crude prices approached $95 per barrel.

The escalating cost of diesel is likely to have widespread implications for various sectors in Nigeria, particularly transportation and logistics, which heavily rely on diesel fuel. As the price continues to climb, consumers and businesses alike may face increased operational costs, potentially leading to higher prices for goods and services across the board.

With the current economic climate and fluctuating oil prices, stakeholders in the petroleum industry are closely monitoring the situation, as further price adjustments may be on the horizon. The impact of these changes will be felt by many, especially as the country grapples with the challenges of inflation and economic stability.