I stared at the fuel pump meter last Wednesday morning at the MRS station along Oshodi-Apapa Expressway, and the numbers just kept climbing. ₦1,250 per litre. My heart sank.
Three weeks ago, I was buying petrol at roughly ₦950 per litre. Now, some filling stations across Lagos are selling between ₦1,200 and ₦1,350 per litre, depending on location and operator. And just this morning, news broke that it is about to get worse.
So I did what any frustrated Lagos worker would do. I sat down, opened my spreadsheet, and calculated exactly how much this petrol price increase is costing me every single month. The numbers honestly shocked me.
If you are a remote worker, 9 to 5 commuter, student, or content creator living in Lagos or anywhere in Nigeria, this breakdown will show you exactly where your money is going and what you can do about it.
How Petrol Prices Jumped From ₦774 to ₦1,245 in Just Three Weeks
Let me give you the full timeline because it happened fast.
According to reporting from Daily Post Nigeria, the Dangote Petroleum Refinery, which supplies about 61 percent of Nigeria’s domestic petrol, started the chain of increases on March 2, 2026, when it raised its gantry price from ₦799 to ₦874 per litre. That was a ₦75 jump in a single day.
By March 7, the Dangote Refinery pushed the gantry price further to ₦995 per litre. Then on March 9, it jumped again to ₦1,175 per litre, as confirmed by Nairametrics. That is a ₦180 increase in just two days.
There was a brief moment of relief on March 10 when the refinery brought the price down by ₦100 to ₦1,075 per litre, according to The Guardian Nigeria. But it did not last.
As of March 21, 2026, Dangote Refinery issued a new notice raising the gantry price from ₦1,175 to ₦1,245 per litre. According to Blueprint Newspapers, this new price takes effect today, Saturday, March 21. This is the fourth price increase this month alone.
At the retail level, filling stations in Lagos are now selling petrol between ₦1,200 and ₦1,350 per litre. According to EnviroNews Nigeria, major marketers like MRS Oil Nigeria Plc and Matrix Energy Group are dispensing at around ₦1,250 per litre, while outlets of Ardova Plc are retailing at approximately ₦1,300.
Some independent stations are charging even higher.
Why Is Petrol Price Increasing So Fast?
The answer is not a Nigerian problem alone. It is global.
According to industry sources, the Iran-United States-Israel conflict has disrupted global oil supply chains, particularly around the Strait of Hormuz, which handles about 20 percent of global oil and gas shipments. As reported by Legit.ng, many oil tankers have avoided the route following security threats and attacks on vessels, leaving shipments stranded in the Gulf region.
This pushed Brent crude oil prices past $100 per barrel in March 2026, according to Channels Television. At one point, Brent climbed to $103.39 per barrel. For context, the crude price was sitting around $72 per barrel just at the end of February.
The Manufacturers Association of Nigeria (MAN) warned through a Punch interview that rising fuel prices, triggered by the Middle East conflict, could worsen inflationary pressures and disrupt supply chains nationwide.
So yes, when you are paying ₦1,250 at the pump, you are literally paying for a war happening thousands of kilometres away.
My Actual Monthly Budget Before and After the Fuel Price Hike
Here is where it gets personal. I work in Ikeja, live in Yaba, and my monthly budget was already stretched thin. Let me show you exactly what changed.
Transportation: The Biggest Hit
I do not own a car. I rely on BRT buses and danfo to get to work. Before March, my daily transport cost from Yaba to Ikeja and back was roughly ₦1,400. That covered BRT one way and danfo the other way.
Things got worse when the Lagos State Government approved a 13 percent increase in BRT and BRI fares effective March 2, 2026. According to LAMATA, the increase covers all routes and was approved by Governor Babajide Sanwo-Olu following rising operational costs.
According to Nairametrics, LAMATA cited data from the National Bureau of Statistics showing that Nigeria’s headline inflation rate stood at 15.15 percent in December 2025, with pressures from vehicle maintenance, spare parts, and staff salaries.
On top of the BRT fare increase, commercial bus drivers across Lagos raised fares by over 30 percent on several routes, as reported by Legit.ng. One commercial driver told Legit.ng that fares on routes like Federal Secretariat to Asokoro in Abuja jumped from ₦400 to ₦700.
Here is my real transport cost breakdown:
Before March 2026 (Petrol at ~₦950/litre):
- Daily commute (Yaba to Ikeja return): ₦1,400
- Weekend errands (2 trips): ₦1,200
- Weekly total: ₦8,200
- Monthly transport: ~₦32,800
After March 21, 2026 (Petrol at ₦1,200 to ₦1,350/litre):
- Daily commute (Yaba to Ikeja return): ₦2,000
- Weekend errands (2 trips): ₦1,800
- Weekly total: ₦11,800
- Monthly transport: ~₦47,200
That is an extra ₦14,400 per month just on getting to work and back. And I do not even own a car.
If you drive, the numbers are significantly worse. I will break that down next.
If You Drive in Lagos: The Generator of Regret
My colleague Tunde drives a Toyota Corolla from Ajah to Victoria Island every day. His car consumes roughly 10 litres per day on that commute, factoring in Lagos traffic.
Before (₦950/litre):
- Daily fuel: ₦9,500
- Monthly (22 work days): ₦209,000
After (₦1,250/litre average):
- Daily fuel: ₦12,500
- Monthly (22 work days): ₦275,000
Extra monthly cost: ₦66,000. That is almost an entire month’s rent in some parts of Lagos.
If you want to see exactly how much your own generator is costing you at these new fuel prices, I built a detailed generator fuel cost calculator that does the maths for you.
Generator Costs: The Silent Budget Killer
This is the one nobody talks about enough.
I use a small “I better pass my neighbour” generator for about 4 hours daily when NEPA takes light, which, let us be honest, happens almost every day in Lagos. It consumes roughly 1.5 litres per hour.
Before (₦950/litre):
- Daily generator fuel (6 litres): ₦5,700
- Monthly generator fuel: ₦171,000
After (₦1,250/litre):
- Daily generator fuel (6 litres): ₦7,500
- Monthly generator fuel: ₦225,000
Extra monthly cost: ₦54,000 just to keep the lights on.
This is exactly why I have been seriously considering switching from generator to solar. The upfront cost is painful, but at ₦225,000 per month in generator fuel, a solar inverter setup starts to pay for itself much faster than people think.
If you want to understand what options exist, check out my complete breakdown of the cost of solar power for a 3 bedroom flat in Nigeria. The numbers will surprise you.
Food Prices: The Ripple Effect Nobody Can Escape
Here is the thing most people miss. When petrol price goes up, everything goes up. And I mean everything.
According to the National Bureau of Statistics, Nigeria’s food inflation rose to 12.12 percent in February 2026, up from 8.89 percent in January. As reported by Channels Television, the increase was driven by rising prices of beans, yam flour, cassava tuber, crayfish, and other staples.
Professor Godwin Oyedokun of Lead City University told Daily Post that the marginal decline in headline inflation to 15.06 percent offers little comfort to households. He explained that food constitutes the largest share of household expenditure in Nigeria, especially for low and middle income earners.
The NBS data also showed that food and non-alcoholic beverages contributed 6.03 percentage points to overall inflation, making it the single largest driver of rising prices.
Here is what my food budget looks like now:
Before March 2026:
- Weekly market (rice, beans, garri, vegetables, protein): ₦18,000
- Monthly food budget: ~₦72,000
After March 21, 2026:
- Weekly market (same items): ₦22,500
- Monthly food budget: ~₦90,000
Extra monthly cost: ₦18,000 for the exact same food items.
I did a more detailed food price comparison earlier where I tracked prices at Mile 12 versus local markets. The price gaps have gotten even wider since then.
If you are spending too much time cooking and want to streamline, I also have a meal prep timetable for busy 9-to-5 workers in Nigeria that can save both time and money.
Cooking Gas: Another Quiet Storm
The Middle East crisis is not just affecting petrol. According to Vanguard, cooking gas surged 40 percent to around ₦1,400 per kg in recent weeks.
My 12.5kg gas cylinder refill went from roughly ₦12,000 to about ₦17,500 in March. That is an extra ₦5,500 per refill, and I refill roughly twice a month.
Extra monthly cost: ₦11,000
The Complete Monthly Budget Impact: All the Numbers in One Place
Here is my total damage report comparing February 2026 to what I am spending now in late March 2026:
| Budget Category | February 2026 | March 21, 2026 | Monthly Increase |
|---|---|---|---|
| Transportation | ₦32,800 | ₦47,200 | +₦14,400 |
| Generator Fuel | ₦171,000 | ₦225,000 | +₦54,000 |
| Food & Groceries | ₦72,000 | ₦90,000 | +₦18,000 |
| Cooking Gas | ₦24,000 | ₦35,000 | +₦11,000 |
| Data & Communication | ₦8,000 | ₦8,000 | ₦0 |
| TOTAL | ₦307,800 | ₦405,200 | +₦97,400 |
I am spending nearly ₦100,000 more every single month than I was spending in February. And my salary has not changed by a single naira.
That extra ₦97,400 has to come from somewhere. For me, it means cutting back on savings, postponing the new laptop I was planning to buy (here is my review of budget laptops for coding in Nigeria that I have been eyeing), and completely rethinking my spending habits.
What I Am Actually Doing to Survive This
I will not just leave you with depressing numbers. Here are the real adjustments I am making right now.
Switching to More Remote Work Days
I negotiated with my office to work from home three days a week instead of one. That alone cuts my weekly transport costs significantly. If you are setting up a home workspace, I wrote about how to set up a home office in a bedroom and which essential gadgets you need for remote work in Nigeria.
Staying productive at home during power outages is a real challenge, though. I shared my strategies in this guide on how to stay focused during power outages, and I always make sure I have apps that work offline ready on my phone and laptop.
Investing in a Power Bank for My Laptop
Since I cannot always run the generator, I invested in a 50,000mAh laptop power bank. It gives me about 5 to 6 hours of extra work time when the power is out. I reviewed the best options in my 50,000mAh power bank guide for Nigeria and also compared several power banks for laptops.
Seriously Exploring Solar
With generator fuel now costing me over ₦225,000 monthly, a portable solar generator is looking increasingly like a smart investment rather than a luxury. I have already started researching specific units.
Reducing Unnecessary Trips
I batch my errands now. Market on Saturday morning. Everything else gets ordered online or postponed. My time management strategies for side hustlers also apply here. Planning ahead saves fuel, saves money, and saves your sanity.
Building Side Income
This fuel crisis made me realize how fragile a single income stream is. I have been learning new digital skills and exploring ways to start freelance writing in Nigeria without experience. Some of my colleagues have started exploring student side hustles and even selling on WhatsApp Business with zero capital.
When your expenses jump by ₦97,000 and your salary stays the same, creating additional income is not optional. It is survival.
Understanding My Electricity Band
I also recently checked my electricity band classification because the cost difference between Band A and Band B is significant. If you have not checked yours, here is how to know your electricity band in Nigeria. I also did a full breakdown of Band A vs Band B electricity and how it affects what you pay.
What Happens Next? Will Petrol Prices Keep Rising?
Honestly, the outlook is uncertain.
According to Professor Wumi Iledare, a petroleum economics expert, the price hike reflects global oil market realities rather than domestic policy failures. He stressed that domestic petrol pricing remains influenced by international market forces, and that Nigeria cannot be isolated from what is happening in the global oil market.
Finance Minister Wale Edun told reporters, as reported by Statepress, that the federal government has no immediate plans to regulate petrol prices despite the ongoing Middle East tensions. He indicated the government would look at other measures to help with the cost of living rather than reverting to backwards steps like re-introducing subsidies.
The Central Bank of Nigeria had initially projected headline inflation to decelerate to 12.94 percent in 2026 in its Macroeconomic Outlook, according to Finance in Africa. But those projections were made before the Brent crude price surge past $100 per barrel. With crude now trading above $103, those optimistic forecasts are already under pressure.
As reported by the Lagos Chamber of Commerce and Industry through The Punch, Nigeria remains exposed to global oil market volatility, and any spike in crude prices would directly impact domestic fuel costs and the wider economy.
The truth? If the Middle East conflict escalates further, fuel prices could climb even higher. According to the oil sector chairman at LCCI, quoted by The Punch, if tensions disrupt crude shipments through the Strait of Hormuz and push global oil prices towards $200 per barrel, Nigeria could face serious economic consequences.
Understanding the Bigger Picture: Cost of Living in Lagos
This fuel price increase does not exist in isolation. It sits on top of already sky-high rent prices, rising data costs, and a general cost of living crisis that has been building since the fuel subsidy removal in 2023.
If you are trying to understand the full picture, I have a comprehensive breakdown of the cost of living in Lagos, Nigeria that covers rent, food, transport, and utilities. I also recently published a rent price comparison across 10 Lagos neighbourhoods that might help if you are considering relocating to a cheaper area.
For NYSC members living on the ₦77,000 allowance, this is especially brutal. Here are some tips on how to budget and save ₦10,000 monthly on NYSC allowance and side hustles specifically for corpers.
My Honest Thoughts
I will not pretend this article has all the answers. It does not.
What I can tell you is that sitting down and actually calculating the numbers helped me stop panicking and start planning. When you can see exactly where ₦97,400 extra is going every month, you can start making informed decisions about what to cut, what to keep, and where to find extra income.
The petrol price situation is largely out of our control. Global crude oil prices, Middle East conflicts, Dangote Refinery pricing decisions… none of these are things you and I can influence from our apartments in Yaba or Lekki or Surulere.
But what we can control is how we respond.
If this article was useful, save it and come back when the next price change happens (because it will). I will keep updating the numbers as the situation develops.
Also, if you are feeling the stress of all this, I genuinely recommend reading about self care ideas specifically for Nigerians and ways to relieve stress quickly at home. Financial pressure takes a toll on mental health, and it is okay to acknowledge that.
We are all in this together. Stay sharp, plan well, and protect your peace.
Oladepo Babatunde (Prince Babatee Tunde) is a Computer Scientist, researcher, and professional content writer with a Higher National Diploma in Computer Science from Kwara State Polytechnic, Nigeria.
With a background in technology and a passion for clear communication, Babatunde specializes in creating thoroughly researched, reader-focused content on productivity, personal development, home living, and technology. Every article he writes is backed by extensive research and fact-checking to ensure readers receive accurate, actionable information.
As a freelance writer, he has helped brands and publications deliver content that educates, engages, and empowers their audiences. His mission at Vibena is simple: make complex topics easy to understand and help Nigerians live smarter, more productive lives.
