The Petroleum Products Pricing Regulatory (PPPRA) on Friday, March 20; revealed that the new price would last temporarily till the end of March after which a new price would be adopted on 1st April.
This was contained in a statement issued by Abdulkadir Saidu, Executive Secretary of the PPPRA; at a media briefing in Abuja.
Saidu, equally important, remarked that there was a huge probability that another price regime would take effect; should there be a shift in the variables used in determining the price of petrol.
He confirmed that the petroleum prices review would be conducted on a monthly basis onwards.
“The approved price of N125 per litre comes into effect from today; which is going to be what we would apply till the end of the month.
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“Then, from the 1st of April, PPPRA will be modulating a monthly price of petroleum products based on the market fundamentals.
“What the new pricing regime is going to be doing is going to be looking at the actual market price. It is going to be a reflection of what the market is doing,” he said.
He further affirmed that “the way the market is going, this is N125, if, by the end of March, the prices go below where they are today, then the Nigerian populace will be expected to pay less than N125. It is going to be a reflection of what the market is doing in any particular period.
“What we are trying to say is that going forward, the price will be a reflection of what the international market is doing. Normally, the crude oil price determines the product price that we pay.
“Therefore, if the crude oil price moves, definitely, it is going to affect the price of PMS. If it goes down, Nigeria will pay lower.”
Saidu also castigated oil marketers who failed to adopt the new price directive; while debunking the speculation making the rounds that they were not involved before the price was decided.
He assured that the Nigerian Government would always seek the involvement of oil marketers in policy-making.