According to insider reports, the Pipeline Products Marketing Company (PPMC) may effect a reduction in the prices of Premium Motor Spirit (PMS) petrol this month.This was alluded to by the Independent Petroleum Marketers Association of Nigeria (IPMAN) National Vice President, Abubakar Maigandi in an interview.Maigandi also said the marketers are looking forward to a downward review of the ex-depot price for October.Equally important, he based his forecast on the decline crude prices.
The Brent Crude that was $40 per barrel is today $39. 38.The IPMAN chairman, however, explained that marketers were expecting an announcement of the new price from the PPMC; which is likewise a subsidiary of the Nigerian National Petroleum Corporation (NNPC).Also Read; Okonjo-Iweala still in contention for WTO job as panel prunes candidates to final twoBut Petroleum Products Pricing Regulatory Agency (PPPRA); had last month said the price of petrol is not solely a factor of crude oil prices.This was contained in a statement issued by its Executive Secretary, Abdulkadir Saidu; who hinted that marketers have the approval for fixing the prices of petrol; because it has been deregulated.According to the agency, only market forces determine the prices of any deregulated product.
The Federal Government deregulated the product in March this year.Last month, the PPMC also pegged the ex-depot price at N151. 56 per litre; as well as deliberately shirked the responsibility of announcing the pump price.With the leverage, the marketers across the country have sold the PMS; for between N158 and N162 per litre.In that month of September, the Brent Crude also sold for $46 per barrel.The PPMC had on September 2, in a brief internal memo with ref: “PPMC /IB/LS/020, dates September 2, 2020; the company said “a new product price adjustment has been effected on our payment platform.“To this end, the price of Premium Motor Spirit (PMS) is now one hundred and fifty-one naira; fifty-six kobo (N151.61) per litre.”The Head Depot Manager, D.O. Agbalaya; who signed the memo said:
“This is effective from 2nd September 2020.”The price of the Brent crude was $46 per barrel on Friday.PPPRA had on August 4 approved an ex-depot price of N138.62 per litre; for the Premium Motor Spirit (PMS ) petrol; and likewise kept the pump price to its chest.The agency reviewed it upward by N6 from its previous N132.00 per litre of July with the Federal Government; justifying the increase on the prices of crude oil in the month of August
