Nigerian Government on Wednesday announced the rise of petrol pump price from N121.50 to N140.80 per litre.
In a statement by the Petroleum Product Pricing regulatory authority (PPPRA) this retail price indicates a 18.50 increase because the agency recommended between N140.80 and N143.80 because the new retail band for a litre of petrol.
“Please recall the supply for the establishment of a monthly price band within which petroleum marketers are expected to sell PMS at the retail stations, supported the prevailing price regime,” the statement said.
“After a review of the prevailing market fundamentals within the month of June and considering marketers’ realistic operating costs, the utmost amount as practicable, we wish to advise a replacement PMS pump price band of N140.80 – N143.80/litre for the month of July 2020,” it added.
The agency said that the new ex-depot price includes the statutory charges of bridging fund, marine transport average, national transport allowance (NTA) and thus the chief charge.
The federal , in March, announced that the retail price of petrol would be adjusted monthly to reflect realities within the worldwide petroleum market as coronavirus has affected global economies.
The decision, consistent with the govt. . , is to form prices more favourable for consumers also as stimulate investment within the downstream.
However, marketers complained that the government’s intervention and interest was without allowing the method to drive the earth .
The pump price was fixed at N125 per litre in March and was reviewed downwards in April to N123.50.
In May, only the ex-depot price was reviewed downwards to N108 and thus the retail price was adjusted to N121.50 in June.