Petrol: NNPC restricts discount sales, may forgo N4.6bn

The Nigerian National Petroleum Company (NNPC) has restricted the availability of a N66-per-litre discount on petrol to customers who download its mobile application, potentially forgoing an estimated N4.62 billion in gross revenue. The discount, initially introduced on October 1 to mark Nigeria’s 66th Independence Anniversary, is tied to a digital payment arrangement and is not automatically available at fuel pumps.

NNPC retail outlets in Abuja continue to sell petrol at N1,405 per litre to customers who pay directly, while those using the app pay N1,339 per litre. The government extended the promotion until October 31, citing rising international crude oil prices and the conflict in the Middle East as reasons for the relief initiative. NNPC Retail supplies around 70 million litres of petrol monthly, generating approximately N98.35 billion in gross sales revenue at the pre-discount price of N1,405 per litre.

The discounted price of N1,339 per litre would generate N93.73 billion, resulting in an estimated N4.62 billion in revenue loss if all sales qualify for the reduction.