12 March 2021 By Shakirat Alabi
The Petroleum Products Pricing Regulatory Agency (PPPRA) says the attention of the agency has been drawn to speculations about increase in the pump price of PMS.
A statement signed by the Executive Secretary of PPPRA Abdulkadir Saidu wishes to state clearly that the Prices posted on the website was only indicative of current market trends and do not translate to any increase in pump price of PMS.
According to the statement , publications by the media to this effect had been misconstrued and thus misleading.
The statement however wishes to remind the general public of the introduction of the Market-Based Pricing Regime for PMS Regulation 2020 as gazetted by the Federal Government. Based on this regulation, prices are expected to be determined by market realities in line with the dictates of market forces.
The statement notes that one of the conditions for the implementation of the Market-Based Pricing Regime for PMS Regulation 2020 is the monthly release of Guiding Price to reflect current market fundamentals.
It further says the agency is not unaware of the challenges with the supply of PMS due to some concerns leading NNPC to be the sole importer of PMS, and that PPPRA is also mindful of the current discussion going on between the government and the Organised Labour on the deregulation policy, while consultation with relevant stakeholders is ongoing, PPPRA does not fix or announce prices and therefore there is no price increase.
It explains that even though market fundamentals for PMS in the past few months indicated upward price trends, the pump price has remained the same and the agency is currently monitoring the situation across retail outlets nationwide.
The statement while assuring the public of adequate products supply reaffirms PPPRA pledge to continue to perform its statutory function in ensuring that the downstream sector remains vibrant as well as support both government and members of the public.