The Nigerian National Petroleum Corporation had cut the depot price for Petroleum Motor Spirit from N113.28 to N108 per litre.
The NNPC has in recent weeks said its planned to do away with the subsidy regime.
The changes in PMS price could be an indication that market forces will now determine the day to price of the product, which could also mean prices will fluctuate.
The Petroleum Products Price Regulatory Agency (PPPRA) which is responsible for setting price is yet to review the retail price of PMS, reflecting changes in the depot price.
Kennie Obateru, the group general manager of the NNPC public affairs division, said with price cut, the corporation was responding to crude oil prices in the international market.
The new price was arrived at after extensive review of market realities by the Petroleum Products Marketing Company (PPMC) internal price review unit.
The new price would enable PPMC to boost its sales volumes from the billions of litres of petrol it has in storage while providing affordable price to millions of customers.