Brent crude at $110/litre threatens Nigeria's fuel subsidy as energy inflation spikes
Brent crude oil prices surged to $110 per barrel on Friday—the highest since May—as attacks on energy infrastructure in the Middle East and Russia reignited global supply fears. For Nigerians, this means petrol costs remain stubbornly high despite government interventions, with Lagos filling stations selling between N1,380 and N1,400 per litre.
The pressure is showing in the numbers: Nigeria’s energy inflation rate more than doubled year-on-year to 10.85% in September 2026, up sharply from 4.69% in August, according to the National Bureau of Statistics. This surge came even as Nigeria’s overall inflation rate eased to 14.63% from 15.39%, highlighting that energy costs are driving a disproportionate share of household expenses.
The government’s recent 30-day petrol discount—introduced to cushion rising fuel prices—now faces a fresh threat as crude supply concerns outweigh prospects of relief. With diesel and gasoline futures also at seasonal highs in New York, the outlook suggests continued pressure at the pump.
Given that energy inflation is rising faster than general inflation, will you prioritize cutting non-essential expenses, explore fuel-efficient alternatives, or adjust your travel plans to mitigate the impact on your household budget?