Petroleum marketers to fix price of petrol as Presidency confirms an end to subsidy payment
Petroleum marketers in Nigeria are now at liberty to determine the pump price of petrol without any sanction by a government agency.
The Petroleum Products Pricing Regulatory Agency, PPPRA, in a document released on Thursday evening said henceforth, the price of petrol would be determined by market forces.
In the document titled ‘Market-Based Pricing Regime for Premium Motor Spirit Regulations 2020”, the PPPRA said it would continue to monitor trends in the crude oil market and advise the NNPC and oil marketers on the monthly guiding price for the commodity.
Replying to a tweet on his timeline, Presidential aide, Ajuri Ngalale confirms an end to subsidy payment.
He acknowledged that the PPPRA which was an enforcement agency now has an advisory role.
In exercise of powers conferred on it by sections 7 & 24 of Petroleum Products Pricing Regulatory Agency (Establishment) Act. No. 8 of 2003, and all other powers enabling it in that behalf, PPPRA
, with the approval of the President, hereby makes the following Regulations.
The price cap per litre in respect of Premium Motor Spirit (PMS) is removed from the commencement of these regulations.
Market-based pricing regime for premium motor spirit (PMS) using the pricing template of the Petroleum Products Pricing Regulatory Agency
From the commencement of these regulations, a market-based pricing regime for Premium Motor Saint (PMS) shall take effect. The PPPRA shall monitor market trends and advise the NNPC and oil marketing companies on the monthly guiding market-based price.