WED, APRIL 01 2020-theG&BJournal-The Federal Government has dropped the price of petrol further down to N123.50 per litre with effect from today, April 1, 2020 from N125/litre when it was first reviewed in mid-March 2020.
The statement issued late Tuesday to the effect by the Petroleum Products Pricing Regulatory Adency (PPPRA) say the drop is in line with the government approval for a monthly review of Premium Motor Spirit (PMS) pump price.
PPPRA said the guiding price which becomes effective Ist April 2020, shall apply at all retail outlets nationwide for the month of April 2020.
This development is sequel to earlier directive issued in March by the Minister of State for Petroleum, Timipre Sylva who directed that the Nigeria National Petroleum Corporation (NNPC) review downwards petrol price when the drop in crude oil prices lowered expected open market price of imported petrol below the official pump price of N145 per litre.
President Buhari subsequently approved that Nigerians should benefit from the reduction in the price of PMS which is direct effect of the crash in global crude oil prices.
The approval came on a day crude oil prices fell to below $26 per/b, the lowest recorded since 2003.
In view of this situation, and based on the price modulation template approved in 2015, the Federal Government directed the NNPC to reduce the ex-coastal and ex-depot prices of PMS to reflect current realities.
The FG also mandated the PPPRA to issue a monthly guide to NNPC and marketers on the appropriate pricing regime as well as to modulate pricing in accordance with prevailing market dynamics and respond appropriately to any further oil market development.
The measure, the FG said, will have a salutary effect on the economy, provide relief to Nigerians and provide a framework for sustainable supply of PMS to the country.
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