The Petroleum Products Pricing Regulatory Agency (PPPRA) said on Thursday the N125.00 new official pump price for Premium Motor Spirit (PMS) would cover the entire month.
The Executive Secretary of the PPPRA, Abdulkadir Saidu, disclosed this in a statement in Abuja.
He said: “In exercising one of its key statutory mandates to determine the pricing policy of petroleum products as enshrined in the PPPRA Act No.8 of May 2003, the Agency hereby announces a new price regime of Premium Motor Spirit (PMS) and other Petroleum products as approved by the Government.
“Consequent on the new NNPC Ex-Coastal price and taking into consideration all existing approved margins on the PPPRA pricing template, the new pump price of PMS is N125.00 per litre, effective March 19.
“This new price will guide PMS pricing in Nigeria for the rest of the month of March 2020.”
Saidu said the agency would continue to monitor trends in market fundamentals and announce a monthly Guiding/Expected Open Market price at the beginning of every month effective from April 1.
He added that the new price regime would emplace a more transparent pricing model, stimulate investment growth in the downstream sector of the petroleum industry and encourage the resumption of products importation by Oil Marketing Companies (OMCs).
This, he noted, would translate to more job creation as many depots and facilities that were presently dormant would now become active.
“The directive of Government to the NNPC is to reduce the Ex-Coastal price of PMS, despite the fact that the current stock of product was imported during the months of January and February 2020 is highly commendable, although this action is not without costs to the Corporation.
“We believe that the recent efforts by the Government to develop an alternative Fuels market will come to fruition in the medium term while various initiatives are being undertaken to deepen the utilisation of LPG/CNG as autogas in Nigeria.
“The PPPRA wishes to assure all Nigerians of Government’s dedication to building a more vibrant and sustainable downstream sector,” the PPPRA chief added. (NAN)