The federal government has announced a new price band of 140.80 to N143.80 per litre for Petroleum Motor Spirit (PMS), also known as petrol. The Petroleum Products Pricing and Regulatory Agency (PPRA), in a circular to marketers dated July 1, 2020, and signed by its Executive Secretary, Abdulkadir Saidu informed that “After a review of the prevailing market fundamentals in the month of June and considering marketers’ realistic operating costs, as much as practicable, we wish to advise a new PMS pump price band of N140.80 – N143.80 per litre for the month of July 2020.All markets are advised to operate within the indicative prices advised by the PPRA.”
The new pump price is coming after the agency had on May 31, 2020, announced a price band of 121.50 to 123.50 per litre for the product. This is after the Federal government had announced its plans to stop subsidy payment regime as they said that the downstream sector of the oil industry will be fully deregulated.
The government informed that the prices of all petroleum products which includes fuel would be fully determined by market forces, following the existing cap on fuel prices.