The Nigerian National Petroleum Company Limited ( NNPCL)has introduced a new pump price of Premium Motor Spirit (PMS), popularly known as petrol
The development jacks up the pump price to N617 per litre at outlets in the Federal Capital Territory.
The hike in the price of fuel was announced on Tuesday, about two months after President Bola Tinubu officially ended the subsidy regime .
Though, the NNPCL has yet to give official reasons for the fresh increase in price , the Independent National Marketers Association of Nigeria attributes the increase to market fundamentals
The National Operations Controller, Independent Marketers Association of Nigeria, Mike Osatuyi, while speaking to journalists, said, “It is not about the NNPC Limited. It is about the market fundamentals. Every marketer stands alone with its different cost elements.
“The low value of the Naira is currently impacting the market. It is now more than N800 to a dollar.
“This is why the market is responding this way. It has to spread because, as operators, our price depends on our cost.
“Even though some importers have been able to import the product, it cannot be cheap because it is based on the current market fundamentals, especially foreign exchange.”
“The public should also know that importers source their foreign exchange from the banks at the current rate, He added.
