Petrol Consumption in Nigeria Declines by 16.8% in July 2023, Reveals Regulatory Authority

The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has released its latest findings on petrol consumption in the country, revealing a significant drop of 16.8% in July 2023. According to the Authority’s report, daily petrol consumption decreased to 52 million litres in July, compared to 64.96 million litres in June of the same year.

The NMDPRA, a reliable source of petroleum-related data, has furnished a comprehensive breakdown of various metrics pertaining to petrol stock levels and sufficiency as of different dates in 2023. This detailed information casts light on land-based and marine stock, dead stock, sufficiency days, and the distribution of stock among key stakeholders in the Nigerian petroleum industry.

Silver car refuelling at the gas station

Petrol Stock and Dead Stock

As of the end of July 2023, the breakdown of petrol stock and dead stock is as follows:

  • Land-based stock, excluding dead stock, stood at a substantial 1.120 billion litres.
  • Marine stock, accounting for both berth and offshore availability, totaled 521 million litres.
  • Combining the above figures, the total stock excluding dead stock amounted to a considerable 1.641 billion litres.
  • Depot dead stock, contributing to the overall stock, reached 83.637 million litres.
  • When accounting for dead stock, the total inclusive stock reached 1.725 billion litres.

Sufficiency Days

The sufficiency days for various stock levels are as follows:

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  • Land-based days sufficiency was calculated at 21.55 days.
  • Marine days sufficiency, accounting for berths and offshore areas, was determined to be 10.02 days.
  • The combined total days sufficiency was measured at a robust 31.57 days.

Stock Levels on July 1, 2023

On July 1, 2023, the petrol stock levels were reported as follows:

  • Land-based stock stood at 1.059 billion litres.
  • Marine stock, including berth and offshore availability, was noted at 826.447 million litres.
  • Total stock, excluding dead stock, came to 1.885 billion litres.
  • Depot dead stock reached 83.095 million litres.
  • With the inclusion of dead stock, the total inclusive stock reached 1.968 billion litres.

Distribution Among Key Stakeholders

Petrol stock was distributed among significant stakeholders in the Nigerian petroleum industry:

  • The Nigerian National Petroleum Corporation Limited (NNPCL) held a stock of 293.380 million litres.
  • Members of the Major Oil Marketers Association of Nigeria (MOMAN) collectively possessed 91.202 million litres.
  • The Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN) secured the highest share at 753.825 million litres.

Stock Levels as of July 31, 2023

By the end of July 2023, the national inland PMS stock amounted to a substantial 1.203 billion litres. Within this total:

  • NNPCL held 377.68 million litres.
  • MOMAN had 60.973 million litres.
  • DAPPMAN’s share was 765.16 million litres.

Notably, Nairametrics reported Farouk Ahmed, Chief of the NMDPRA, indicating a significant reduction in daily petrol consumption figures. Ahmed stated that daily consumption had dropped from 65 million litres, the rate before subsidy removal, to 46.3 million litres as of July. He highlighted the consistent downward trend in consumption figures from January through July, attributing it to the impact of subsidy removal on consumer behavior.

This report underscores the changing landscape of Nigeria’s petrol consumption and offers valuable insights into the nation’s petroleum industry dynamics.