The Nigerian National Petroleum Company Limited (NNPCL) has reduced the pump price of Premium Motor Spirit (PMS), commonly known as petrol, to ₦1,210 per litre in Lagos and ₦1,260 per litre in Abuja.

The latest price adjustment, which took effect at NNPCL retail outlets, is expected to provide some relief to motorists, transport operators, and businesses burdened by rising fuel costs.

Checks at selected NNPCL filling stations on Tuesday showed that the revised prices were already being implemented, with motorists taking advantage of the reduction amid ongoing fluctuations in the downstream petroleum sector.

The development comes as competition among petroleum marketers continues to intensify following the deregulation of Nigeria's downstream oil industry.

Industry observers say the reduction may be linked to changing market conditions, including improved product availability and adjustments in supply costs.

The price cut is expected to have a positive impact on transportation costs and could help moderate inflationary pressures, particularly on goods and services that depend heavily on road transport.

Since the removal of fuel subsidy, petrol prices have experienced several upward and downward adjustments, reflecting movements in global crude oil prices, foreign exchange rates, and domestic supply dynamics.

Stakeholders in the oil and gas sector have welcomed the reduction, describing it as a positive development for consumers.

However, they cautioned that fuel prices remain subject to market forces and could fluctuate depending on international oil prices and exchange rate movements.

The NNPCL has yet to issue an official statement detailing the factors behind the latest reduction, but industry analysts believe the move signals growing competition in Nigeria's deregulated fuel market.

Motorists and consumers across the country are expected to closely monitor developments in the sector, hoping for further reductions that could ease the cost of living and support economic activities.