By Adejumo Enock
Pump price of Petroleum Motor Spirit (PMS) also known as fuel may hit N200 as Nigerian National Petroleum Corporation (NNPC) through its subsidiary, Petroleum Products Marketing Company (PPMC) raised its ex-depot price from N147.67 to N155.17, which indicates an increase of N7.5 per litre.
PPMS made this known in an internal memo with reference number PPMC/C/MK/003, dated November 11, 2020, and signed by Tijjani Ali.
The Internal memorandum stated that from Friday, the new ex-depot price would take effect.
The price at which the product is sold by the PPMC to marketers at the depots is the ex-depot price.
In the new price template for November, the PPMC increased the landing cost of Petrol per litre from N119.77 to N128.89 in September/October, adding that the estimated minimum pump price of the product would increase from N161.36 to N153.86 per litre.
Mr. Mike Osatuyi also said that the Independent Petroleum Marketers Association of Nigeria Controller General reported that the N7.5 increase in ex-depot price will cause pump price to increase.
He said, “The implication of the increase in Ex-depot price is that there is going to be an increase in the pump price. We are expecting the pump price to range from N168 to N170 per litre
“As a result of the deregulation of petrol price in September, pump prices has been adjusted to N158/N162 per litre by the marketers to reflect the increase in global oil prices.”
Timipre Sylva, the Minister of State For Petroleum Resources said in September, that government had stepped back in regulating the price for petrol and that market forces and international crude oil price will determine the cost of Petrol in Nigeria.