Diesel Costs Continue Upward Climb Across Nigeria, Benue Tops the Chart Again

Nigeria’s diesel market continues to witness a steady surge in prices, with the average retail cost of Automotive Gas Oil (AGO) reaching ₦1,813.81 per litre in June 2025, marking a year-on-year increase of 23.98% from ₦1,462.98 recorded in the same month last year. The data, released by the National Bureau of Statistics (NBS) in its “Automotive Gas Oil (Diesel) Price Watch” for June 2025, highlights ongoing inflationary pressures and significant price disparities across states and geopolitical zones.

On a month-on-month basis, diesel prices rose by 3.16%, up from an average of ₦1,758.26 in May 2025. This continues a consistent upward trajectory, with diesel becoming less affordable for businesses, transport operators, and households dependent on the fuel for generators and mobility.

Benue, Adamawa, Plateau: Diesel Price Hotspots

Regional data shows Benue State leading the pack with the highest diesel price at ₦2,541.46 per litre in June 2025. Adamawa and Plateau followed closely at ₦2,355.32 and ₦2,236.42, respectively—cementing their position as the most expensive states for diesel over the past three months.

Conversely, Ondo State recorded the lowest average price at ₦1,365.71, followed by Anambra (₦1,391.02) and Kogi (₦1,400.00). These states have consistently ranked as the most diesel-affordable regions since April 2025.

Zonal Breakdown Reflects Stark Regional Differences

At the zonal level, the NBS report reveals sharp contrasts in average prices paid by consumers:

  • South-South: ₦1,963.86 – highest average diesel price among the six zones.
  • North-Central: ₦1,958.38 – also significantly above the national average.
  • North-East: ₦1,799.37
  • North-West: ₦1,807.80
  • South-East: ₦1,691.17
  • South-West: ₦1,618.74 – the lowest average among all zones.

These disparities are influenced by factors including distance from supply depots, local demand, distribution logistics, and infrastructure availability.

May 2025 Recap: Rising Prices Set the Stage

The June spike follows an already high average in May 2025, when diesel retailed at ₦1,758.26 per litre—25.24% higher than the ₦1,403.96 recorded in May 2024. From April to May 2025 alone, the fuel price rose by 2.08%.

Again, Benue, Adamawa, and Plateau topped the chart as the states with the highest average prices, while Ondo, Kogi, and Anambra offered the most relief to consumers.

The North-Central region held the highest zonal average in May at ₦1,920.47, while the South-West posted the lowest at ₦1,553.19, consistent with previous months.

A Persistent Trend: Same States Lead and Lag for Three Consecutive Months

Data for April, May, and June 2025 reveals a recurring pattern:

  • Benue, Adamawa, and Plateau consistently reported the highest prices.
  • Kogi, Ondo, and Anambra remained the most affordable states for diesel purchases.

This repetition suggests a level of market rigidity or entrenched structural challenges affecting supply chains and retail pricing at the sub-national level.

Implications for Consumers and Businesses

The upward trajectory in diesel prices adds pressure to Nigeria’s cost of living and operational expenses for logistics, manufacturing, and service delivery—sectors heavily reliant on diesel-powered systems. With no subsidies or regulated pricing for AGO, fluctuations in global oil markets, currency devaluation, and distribution inefficiencies continue to fuel local price instability.

As diesel remains critical to Nigeria’s energy mix, especially in off-grid areas, the latest figures point to an urgent need for energy policy reforms, diversification, and improved logistics to manage long-term affordability and accessibility.

The NBS data for June 2025 reinforces the reality that diesel prices are not only increasing but are doing so unevenly across Nigeria. The persistent disparities between states and regions raise questions about infrastructure equity and supply chain efficiency. As the country navigates its broader energy transition and economic reforms, addressing fuel affordability will remain a key concern for both policymakers and consumers.