FG to fully deregulate petrol price soon

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The Minister of Minister of State (Petroleum) Timipre Sylva has disclosed plans by the Federal Government to fully deregulate petrol pricing before the end of this year.

He spoke amid controversy over whether a new price template of N206 per litre from N162 – N163 for March is about to be introduced.

The minister spoke at the University of Ibadan during the opening of the 56th Annual International Conference and Exhibition of the Nigeria Mining and Geoscience Society (NMGS).

Sylva said: “We have been talking about deregulation for decades. Unfortunately, we have not succeeded. We have succeeded in deregulating some products.

“Kerosene has been fully deregulated; diesel has been fully deregulated. But deregulation of PMS (petrol) has continued to elude us. We expect that this year, we will be able to achieve that.

“But, before we do that, we want to apply the principle of tolling the roads. Before you toll a road, you are expected to give an alternative.

“So, what we want to do for Nigerians is to give a credible and cheaper fuel as an alternative before we fully deregulate and we believe we will be able to achieve this later this year.

“And this, of course, is going to be a responsible way of also maintaining our environment.”

President Muhammadu Buhari had in March 2020 approved the deregulation of petrol price and removed the cap per litre on the product.

The Petroleum Products Pricing Regulatory Agency (PPPRA) had announced that a “market-based pricing regime” for petrol, known as premium motor spirit (PMS), would come into effect.

The PPPRA said it would monitor trends in the market and advice Nigerian National Petroleum Corp. (NNPC) and marketing companies of the market-based price. The price advised by PPPRA would be “the guiding retail price at which the product shall be sold across” Nigeria.

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The Petroleum Products Pricing Regulatory Agency (PPPRA), at midnight last Thursday, published a new price regime for Premium Motor Spirit.

It said with the new template, fuel was expected to sell at N209.61 and at an upper retail price of N212.61. But it pulled down the new template after an outcry.