The pump price of Premium Motor Spirit, known as petrol has been reduced by 50k.
The reduction was announced by the Petroleum Products Pricing Regulatory Agency (PPPRA) in a news release sent to journalists.
Farouk Ahmed, executive secretary of the agency, in the statement noted that the commodity, which officially sold for N87/litre, will now sell for N86.50k/litre.
“The Petroleum Products Pricing Regulatory Agency (PPPRA) hereby announces the implementation of the revised components of the Petroleum Products Pricing template for Premium Motor Spirit (PMS) and Household Kerosene (HHK),” read the statement.
“This followed the approval of the minister of state for petroleum resources, dr. Ibe Kachikwu, for the implementation of the revised template. “The major components of the pricing template affected by this review are Traders Margin, Lightering Expenses, Nigerian Ports Authority, Jetty Throughput and Storage Charges, as well Bridging Fund.
“Other components revised include Retailers’ Transporters and Dealers Margin.
“Accordingly, the Ex-depot price of PMS shall be N77.00kobo/litre, while the pump price shall be N86.50kobo/litre in line with the prevailing market trend.
“This new price regime is with effect from January 1, 2016. All marketers are hereby advised to adhere strictly to the PPPRA-approved Ex-depot and pump prices, as the PPPRA, in conjunction with relevant government agencies, shall enforce compliance.”