Diesel Prices Surge by 64.58% Year-on-Year in Nigeria, Hitting N1,406 per Litre
The average retail price of Automotive Gas Oil, commonly known as diesel, in Nigeria has skyrocketed by 64.58% year-on-year, reaching N1,406.05 per litre in August 2024, compared to N854.32 per litre recorded in the same period last year. This surge is detailed in the National Bureau of Statistics’ Automotive Gas Oil (Diesel) Price Watch Report for September 2024, released on Monday, underscoring the intensifying cost burden on consumers amid persistent fuel price hikes.
On a month-by-month basis, diesel prices rose by 1.93%, climbing from N1,379.48 in July 2024 to an average of N1,406.05 in August 2024. The data, gathered from over 10,000 respondents across Nigeria’s 774 Local Government Areas, revealed significant regional variations in diesel prices, with northern states experiencing the steepest increases.
Kaduna led the list, recording the highest average price at N1,930.79 per litre, closely followed by Bauchi at N1,927.34 and Taraba at N1,638.14. Meanwhile, the lowest prices were observed in Lagos (N1,237.14), Ogun (N1,255.00), and Osun (N1,268.18). The zonal analysis further highlighted stark disparities, with the North-East zone posting the highest average price at N1,621.23, while the South-West saw the lowest at N1,283.47.
These discrepancies reflect uneven fuel cost distribution across the country, driven by a combination of supply and demand dynamics, transportation challenges, and regional market conditions.
The sharp rise in diesel prices adds to the mounting financial strain on Nigerian households, as inflationary pressures continue to erode purchasing power. Although the headline inflation rate eased slightly in August 2024, dropping to 32.15% from July’s 33.40%, the month-on-month inflation rate remained elevated at 2.22%, signalling ongoing price increases across sectors.
Food inflation, another critical metric affecting living costs, remained stubbornly high at 37.52% in August 2024, compounding the difficulties faced by consumers already struggling to cope with the soaring price of diesel. As fuel and food costs continue to climb, the economic challenges for ordinary Nigerians show little sign of abating.
