The Petroleum Products Pricing Regulatory Agency (PPPRA) says the petroleum pricing template published on its website was not intended to cause an increase in the price of petrol.
In a statement signed by Abdulkadir Saidu (pictured), the agency’s executive secretary, on Friday, the agency said the pricing template was only “only indicative of current market trends”.
TheCable had reported how there was panic buying of petrol in Lagos and Abuja owing to the announced increase in the recommended retail price of the product.
Saidu said the agency does not “fix or announce prices and therefore there is no price increase,” adding that “the current PMS price is being maintained while consultations are being concluded”.
“The PPPRA by this release wishes to state clearly that the Guiding Prices posted on our website was only indicative of current market trends and do not translate to any increase in the pump price of PMS. However, publications by the media to this effect have been misconstrued and thus misleading.
“The Agency wishes to remind the general public of the introduction of the Market-Based Pricing Regime for PMS Regulation 2020 as gazetted by the Federal Government. Based on this regulation, prices are expected to be determined by market realities in line with the dictates of market forces.
“One of the conditions for the implementation of the Market-Based Pricing Regime for PMS Regulation 2020 is the monthly release of Guiding Price to reflect current market fundamentals.
“The PPPRA in line with its mandate to maintain constant surveillance overall key indices relevant to pricing policy, monitors market trends on a daily basis to determine Guiding Prices.
“The Agency is not unaware of the challenges with the supply of PMS due to some concerns leading NNPC to be the sole importer of PMS. PPPRA is also mindful of the current discussion going on between the government and the Organised Labour on the deregulation policy.
“PPPRA does not fix or announce prices and therefore there is no price increase. The current PMS price is being maintained while consultations are being concluded.
“Even though market fundamentals for PMS in the past few months indicated upward price trends, the pump price has remained the same and we are currently monitoring the situation across retail outlets nationwide.”
PPPRA said the current petrol stock in the country as of March 11, 2021, is over 35 days
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