No increase in fuel price, NNPCL assures Nigerians

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By Ade Ayodele

The Nigerian National Petroleum Company Limited (NNPCL) on Wednesday allayed fears of an imminent increase in the cost of Premium Motor Spirit (PMS), commonly known as petrol.

NNPC Ltd. urges Nigerians to disregard unfounded rumours and assures them that there are no plans for an upward review of the PMS price.
In a statement by the Chief Corporate Communications Officer, NNPC Ltd Olufemi Soneye, the NNPCL advised motorists nationwide against engaging in panic buying, as there is presently ample availability of PMS across the country.
Similarly, it noted that the subsidy on fuel has been removed and not reduced.

The NNPCL made the clarification while reacting to a story on a reported clash with oil marketers on the actual cost of Petroleum Products considering the foreign exchange rate.

The report had insinuated that in a free market, the Premium Motor Spirit (PMS) should sell for N1,200/litre.
The Company denied claims that it was still partially paying subsidy on Petroleum products.

It reads: “NNPC Ltd emphasizes it has not clashed with any party. The Punch headline is deemed unfortunate. The publication sought confirmation on alleged subsidy reduction, to which NNPC responded that subsidy has been entirely removed.”

The NNPCL is currently the sole importer of fuel which currently sells between N617 to N660 depending on the filling station.

Oil Marketers had in various instances queried how the Federal Government (FG) is still able to maintain the current price of PMS despite the foreign exchange realities.

They insisted that with the continued fall of Naira against the dollar and the increasing price of crude at the international market, prices of petroleum products were expected to rise.

In view of this, the Independent Petroleum Marketers Association of Nigeria (IPMAN) had concluded that the government was still running a quasi-deregulation regime.

Responding to these speculations, President Bola Tinubu maintained that the government will not restore subsidy but rather take measures to maintain the current pump price of PMS, in the country without a reversal of its policy.