Premium Motor Spirit (PMS) slashed to N108 per litre on Wednesday May 6.
Ex-depot price and the pump price of petrol is often round N9 per litre.
This has led to hypothesis of petrol selling for N117 by the end of the week.
The ex-depot price of Premium Motor Spirit (PMS) slashed to N108 per litre on Wednesday May 6, by the Petroleum Products Marketing Company (PPMC).
The move mirrored a drop within the value of oil, anticipated to end in a decrease pump price at petrol stations by end of this week.
Although a particular pump price not agreed. Nonetheless, in the previous couple of years the distinction between the ex-depot price and the pump price of petrol is often round N9 per litre. This has led to hypothesis of petrol selling for N117 by the end of the week.
A memo addressed to oil marketers and other stakeholders in the petroleum marketing business, with the topic: ‘Re: PPMC Petroleum Products Prices for May 2020,’ additionally revealed that the PPMC slashed the ex-depot price of Automotive Gasoline Oil also known as diesel, to N164 per litre for depots in Lagos and N166 per litre for depots in Oghara, Calabar, Port Harcourt, amongst others.
The Group General Manager, Group Public Affairs Division of the Nigerian National Petroleum Corporation (NNPC), Dr. Kennie Obateru mentioned;
“The N108 new PPMC ex-depot price of PMS from N113.28 is a marketing strategy to make more sales whereas complying with PPPRA price template. We reviewed the ex-depot prices to allow us make more sales.
“For AGO, it’s a deregulated product and prices determined by market forces.”
The responsibility of fixing petroleum products prices lies solely with the Petroleum Products Pricing Regulatory Agency (PPPRA).
However, the company yet to release the pricing templates for May 2020. As towards its promise templates released on a month-to-month basis, to serve as guide for products pricing for every month.