There are indications that the Nigerian National Petroleum Company Limited (NNPCL) may have raised the pump price of premium motor spirit(pms) also known as petrol at its retail outlets from N617 per liter to N855 per liter.
The Federal government has however denied any increase, according to the Minister of State for Petroleum Resources, Sen. Heineken Lokpobiri.
A memo sent to all outlets indicated that the new price regime takes effect as from September 3, 2024. An online video post indicated that the new price is being displayed on pumps in filling stations in Lagos.
Some independent marketers in Lagos has been selling petrol for up to N960 per liter for over a week. Prices reached N2,000 per liter in some outlets in Ogun State.
The price hike coincides with the presentation of the first batch of petrol produced by Dangote refinery. Industry insiders say that the new price template is to accommodate agreements reached between a federal government team and refinery on petrol prices under a zero subsidy regime and in line with concessions to sell crude oil to Dangote refinery in naira instead of dollars.
NNPC is the sole domestic offtaker of Dangote petrol under the terms of the agreements.
The NNPC had at the weekend admitted its indebtedness to international oil traders which has hampered efforts to procure fresh petrol supplies that has triggered a prolonged scarcity and priced in many retail stations already hitting the N1,000 per liter mark.
The company said the financial strain has placed considerable pressure on the Company and poses a threat to the sustainability of fuel supply.
It stated: “In line with the Petroleum Industry Act (PIA), NNPC Ltd remains dedicated to its role as the supplier of last resort, ensuring national energy security. We are actively collaborating with relevant government agencies and other stakeholders to maintain a consistent supply of petroleum products nationwide”
However, Sen Lokpobiri, denied issuing a directive to the Nigerian National Petroleum Company Limited (NNPCL) to increase petrol prices to N1,000.
In a statement, Lokpobiri described the claims as “baseless, malicious, and a deliberate attempt to incite public discontent.” He challenged anyone with evidence to support the claims to make it public.
Lokpobiri explained that NNPCL operates independently under the Companies and Allied Matters Act (CAMA), with a fully empowered Board of Directors. He emphasized that the Ministry of Petroleum Resources does not interfere in NNPCL’s internal decisions, including pricing matters.
He urged the public to dismiss the “malicious rumors” and rely solely on information from verified and official channels.
Additional reports by NAN
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