NNPC says it lacks power to change petrol pump price

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TUE, NOVEMBER 8 2016-Garba-Deen, the Nigerian National Petroleum Corporation (NNPC) spokesman in a press statement while dismissing claims of impending petrol price increase, said the price adjustment in its downstream facilities from N141 to N145 per litre, was still within the price band of N135 and N145 per litre approved on May 11, 2016 by the Petroleum Products Pricing Regulatory Agency (PPPRA), the statutory body in charge of petroleum products pricing.

NNPC was forced to come clear with the announcement according to industry watchers to put to rest the speculation that another petrol pump price is looming following recent suggestions from certain government personalities that the corporation was thinking a new price regime hinged on the scarce and rising foreign exchange rates.

Ibe Kachikwu, minister of state for petroleum, last weekend stoked the speculation when he told newsmen that the Federal Government would undertake a review of the pricing template. The template review he said would be jointly conducted with oil marketers and other stakeholders. His argument is that the review would help cushion the effect of rising foreign exchange rates and the dwindling value of the naira against major international currencies on the price of petrol.

Garba-Deen dismissed suggestions of any price tinkering, saying that NNPC is not empowered statutorily to tinker with the pricing template of petroleum products as erroneously reported in some national dailies.

Meanwhile, the NNPC has confirmed the availability of over 1.6 billion litres of PMS in-country that would last 45 days consumption, saying there was no time its management met the President to push for a hike in the pump price of petrol to N150 per litre. It equally assured marketers and motorists of its readiness to continue to play its statutory role of being the supplier of last resort and ensuring energy security for the nation.

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