Fuel Subsidy: Why Petrol Prices Will Soon Come Down – Nigerian Company, NNPCL | Sahara Reporters

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The Nigerian National Petroleum Company Limited (NNPCL) has claimed that with time, the current high pump price of premium motor spirit (PMS) popularly known as fuel will come down. The Group Chief Executive Officer of the NNPCL, Mele Kyari, who gave the assurance on Thursday during an interview on Arise News TV, said that competition among major players in the oil sector would force down the price of fuel as against the current price hike that had caused panic and controversy in the country.

The Nigerian National Petroleum Company Limited has claimed that with time, the current high pump price of premium motor spirit popularly known as fuel will come down.

The NNPCL adjusted its petrol pump price to between N488 and N557 across all the 36 states of the federation and FCT, Abuja on Wednesday, saying that it had adjusted the fuel pump price to reflect the market realities. The NNPCL boss claimed that the move would ensure healthy competition which would ultimately lead to a downward review of pump prices of petroleum products across the country.

“Therefore, you will see competition, even with NNPC. And by the way, by law, NNPC cannot do more than 30 per cent of the market going forward. As soon as the market stabilises, oil marketing companies are able to come in. Speaking on why fuel stations hiked their pump price when they still had old stock of already subsidised products, Kyari said, “This is the reality of the market. It applies to every commodity and not just petroleum.

 

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