The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) has attributed the recent decline in petrol prices to improved foreign exchange (FX) stability and increased supply from local refineries.

The union is calling on the federal government to maintain the reforms that encourage competition and boost domestic refining capacity.

PENGASSAN General Secretary Comrade Lumumba Okugbawa expressed optimism about the price drop, saying, “This is a welcome situation for us and a welcome relief for both consumers and independent marketers.”

He explained that unlike the usual rise in prices during peak demand, the current decline is driven by “increased supply and competition,” which has sparked a beneficial price war.

Okugbawa highlighted several factors behind the positive trend, including the naira-for-crude exchange model and the gradual restart of operations at key refineries like Port Harcourt, Warri, and Dangote.

He urged the government to “sustain this because it will have broader economic benefits.”Despite the optimism, the union warned that ongoing issues with oil theft and pipeline vandalism remain serious threats.

“Unless Nigeria ends crude oil theft and assets’ vandalism, the country’s economy will continue to wobble, at least in the short to medium term,” Okugbawa cautioned.

PENGASSAN’s stance supports recent calls for stable fuel prices and highlights the importance of government reforms in securing Nigeria’s energy future.