Florence Sadiku
THE Nigerian National Petroleum Company (NNPC Retail) May have jerked up fuel pump price to N998 per litre from between N855 to N897.
Although the new price has not been officially communicated, a visit by our correspondent to some NNPCL filling stations indicates that the management of these stations has adjusted their metre to reflect the new price.
Eighteen-Eleven Media recalls that the NNPCL recently decided to terminate its exclusive purchase agreement with Dangote Petroleum Refinery thereby opening up the market for other marketers to buy petrol directly from the refinery.
The development meant that the NNPC would no longer be the sole off-taker, and marketers could now negotiate prices directly with Dangote Petroleum Refinery. This development aligns with the current practices for fully deregulated products, where refineries can sell directly to marketers on a willing buyer, willing seller basis.
The NNPCL has refused to officially speak on the matter. A Dangote refinery spokesperson also refused to comment on the matter. It is also not clear if NNPC is still importing petrol to augment the one produced by the Dangote Refinery.
However, an official of the NNPC who spoke Wednesday morning said “bulk is close to N1000 based on cost from Dangote (Refinery) being circulated at N953.”
The source noted that the product will now sell for N998 per litre at the NNPCL stations in Lagos and N1,025 in other South-West states. In Abuja, prices range between N1,030 to N1,065.
In Nigeria’s North-East, the petrol prices at the NNPC retail station will range between N1,060 and N1,070, while in the South-South, prices are expected to move between N1,055 and N1,075 per litre for the product.
The source also said since prices are now cost-reflective, Dangote Refinery is obligated, under the Crude for Naira arrangement, to sell petrol to Major Energies Marketers Association of Nigeria (MEMAN), Depot and Petroleum Marketers Association of Nigeria (DAPMAN), and Independent Petroleum Marketers Association of Nigeria (IPMAN) in Naira.
Eighteen-Eleven Media