The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) has said the pump price of premium motor spirit (PMS), also called petrol, should be around N400 a litre, after the removal of subsidy.
Festus Osifo, PENGASSAN president, made this disclosure when speaking to journalists on the sidelines of the association’s National Executive Council meeting (NEC) held in Abuja on Tuesday.
Osifo spoke days after marketers and other groups in the downstream sector of the Nigerian petroleum industry said subsidy removal will push fuel prices to N750 per litre
The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) has said the pump price of premium motor spirit (PMS), also called petrol, should be around N400 a litre, after the removal of subsidy.
Festus Osifo, PENGASSAN president, made this disclosure when speaking to journalists on the sidelines of the association’s National Executive Council meeting (NEC) held in Abuja on Tuesday.
Osifo spoke days after marketers and other groups in the downstream sector of the Nigerian petroleum industry said subsidy removal will push fuel prices to N750 per litre
In January, Nigeria’s Minister of Finance, Zainab Ahmed, said that it will be more appropriate for the government to begin the implementation of its fuel subsidy policy in the second quarter of the year. The minister pointed out that countries need to get out of the fuel subsidy system as it is a very important factor in revenue loss.
On Tuesday, Osifo said Nigerian National Petroleum Corporation (NNPC) Limited, the sole importer of premium motor gasoline (PMS), will use the Central Bank of Nigeria (CBN) exchange rate to determine oil prices.
“Today, NNPC is the sole importer of PMS into Nigeria. NNPC uses the exchange rate from CBN, which amounts to approximately N400 to N450 depending on the day and window you are looking at. , and factoring that into today’s models, the PMS should sell in the region around N360 to N400,” Osifo said. He added that the association had forced all institutions across the country to provide fuel to Nigerians and threatened to revoke the licenses of petrol operators stockpiling gasoline.
He pointed out that functioning local refineries not only make fuel affordable, but also create jobs for Nigerians.
“While maintaining support for full deregulation of the sector and the important milestones achieved in this regard, we encourage efforts to accelerate the pace of current refinery recovery efforts and get them back on track in a timely manner. I will,” he called. .
