Rising fuel prices slash petrol, diesel, cooking gas demand

The rising fuel prices in Nigeria have led to a significant decrease in consumption of petrol, diesel, and cooking gas during the first half of 2026. The Major Energy Marketers Association of Nigeria (MEMAN) reported that as fuel prices increased, consumers cut back on their usage, leading to a clear relationship between higher energy costs and reduced demand for the country's three major petroleum products.

In June, average retail prices for petrol peaked at N1,596 per litre, diesel prices peaked at N3,277 per litre, and LPG prices peaked at N1,800 per kilogramme. However, prices have since eased, but consumption has not fully recovered to pre-peak levels. MEMAN emphasized the need for a diversified fuel supply strategy, warning against reliance on domestic refining alone and calling for the establishment of a National Strategic Stock to mitigate refinery outages, logistics disruptions, and geopolitical shocks.