Marketers to sell petrol N161.78 per litre for September
Petrol will sell for just below a hundred and sixtytwo naira a litre at the station for the month of September according to Businessday investigations.
This is the price agreed by the marketers after a crucial meeting held earlier Wednesday between the regulator, PPMC and marketers and it came after PPMC set its ex-depot price at N147.67 a litre.
To arrive at the pump price, the marketers and dealers will add the following margins approved by the regulator PPPRA – N3.89 for national transportation allowance; N4.03 as whole sellers margin and N6.19 retailers margin.
The ex-depot price for petrol was announced in a statement issued earlier Wednesday by the PPMC, which said the new price would take effect from Wednesday, September 2, 2020. The PPPRA position is contained in a memo released by the Pipelines and Product Marketing Company (PPMC) and signed by D.O Abalaka.
The memo read, “Please be informed that a new product price adjustment has been effected on our payment platform. To this end, the price of premium motor spirit (PMS) is now one hundred and fifty-one naira, fiftysix kobo (N151.56) per litre.’’
The Nigerian government had in March said it would no longer subsidise petrol and that the pump price of petrol would be determined by market forces, stating that how much Nigerians would pay would be largely determined by the international prices of crude oil.
Meanwhile, the Independent Petroleum Marketers Association of Nigeria (IPMAN) has directed its members in the Southwest region of the country to begin sales of petrol at N162 per litre.
The Southwest zonal chairman of IPMAN, ‘Dele Tajudeen in a telephone interview with journalists in Abeokuta, the Ogun State capital, said his members would be left with no other option than to dispense the product at a price of N162.
The directive followed the increase in the depot loading price of the product by the Federal Government, which placed a new price regime of the product at N151. 56k, Tajudeen said.
Since the government has decided and puts the price of the product at N151. 56k, IPMAN has no option than to sell at N162 to be able to meet up with the overhead cost, he said.
The chairman said IPMAN members would have to make provision for the cost of diesel to run generator that would power the dispensing machines; pay the cost of transporting the fuel from the depot to their respective filling stations and also settle their statutory levies with the appropriate regulatory agencies.
That by the time they finish paying all these levies, the cost of discharging fuel at the petroleum filling stations would have shored up to N160, hence dispensing the product at N162 will enable IPMAN members to be able to pay the staff bills and the stations’ gains.