The Nigerian National Petroleum Corporation, NNPC, has said that the petrol pump price at its retail stations is now N125 per litre.
The new price takes effect from Thursday.
Announcing the price cut, the Group Managing Director, NNPC, Mele Kyari, said the action was taking following the decision of the Federal Government.
His words: “In compliance with the directives of the honourable minister of state for petroleum resources on PMS pricing, the corporation has reviewed its ex-coastal, ex-depot and NNPC retail pump prices accordingly.
“Effective March 19, 2020, NNPC ex-coastal price for PMS has been reviewed downwards from N117.6/litre to N99.44/litre while the ex-depot price is reduced from N133.28/litre to N113.28/litre.
“These reductions will, therefore, translate to N125/litre retail pump price.”
He added: “NNPC is delighted to effect this massive reduction of N20/litre for the benefit of all Nigerians.
“Accordingly, all NNPC retail stations nationwide have been directed to change the retail pump price to N125/litre.”
The Federal Government on Wednesday issued a directive to NNPC to reduce the pump price of petrol.
The Minister of State for Petroleum Resources, Chief Timipre Sylva, made the announcement of the directive for a decrease in the price of the product in a statement issued in Abuja on Wednesday.
The statement reads: “The drop in crude oil price has lowered the expected open market price of imported petrol below the official pump price of N145 per litre.
“Therefore, Mr President has approved that Nigerians should benefit from the reduction in the price of PMS which is a direct effect of the crash in global crude oil prices.
“In view of this situation, based on the price modulation template approved in 2015, the federal government is directing the NNPC to reduce the Ex-Coastal and Ex-Depot prices of PMS to reflect current market realities.”
The minister added that the Petroleum Products Pricing Regulatory Agency, PPPRA, shall subsequently issue a monthly guide to NNPC and marketers on the appropriate pricing regime.
“The agency is further directed to modulate pricing in accordance with prevailing market dynamics and respond appropriately to any further oil market development.
“It is believed that this measure will have effect on the economy, provide relief to Nigerians and will provide a framework for sustainable supply of PMS to our country,” he added .
He noted that Ministry of Petroleum Resources would continue to encourage the use of Compressed Natural Gas to complement PMS utilisation as transportation fuel.
