FG Announces New Price Regime for Petrol

The Federal Government on Wednesday announced a new price regime for petrol with the highest price of N145 per litre.

The Petroleum Products Pricing Regulatory Agency (PPPRA) said in Abuja that the new price regime had taken effect from Wednesday.

The NNPC, however, advised its retail stations on the outskirts of major cities to sell at prices lower than N145 per litre.

In a statement, the agency said that “this review became imperative in the face of extreme difficulties faced by petroleum product importers in sourcing foreign exchange".

The agency said that to meet the consumption demand of the nation, importers will henceforth be permitted to source for their foreign exchange requirements from the secondary sources.

“PPPRA is conscious of the difficulties that Nigerians have been going through in the last few months and to ameliorate this situation we shall continue to modulate pricing in accordance with prevailing market dynamics thereby ensuring fair value to all citizens,” it said.

News Agency of Nigeria (NAN) reports that mixed reactions have been trailing the announcement of the new price regime.

Comrade Joe Ajaero, a factional President of Nigeria Labour Congress (NLC), told NAN on Wednesday that removing subsidy without fulfilling the agreement reached with the unions was nothing but a betrayal

“We do not in any way support full deregulation of the downstream petroleum sector.

Mr Obafemi Olawore, the Executive Secretary of Major Oil Marketers Association of Nigeria (MOMAN), said that his association supported the move, saying it was the right step to liberate the downstream sector.

“It is a step towards deregulation. At MOMAN, we support full deregulation,” he said.