Petroleum Products Price Regulatory Agency (PPPRA) has slashed petroleum pump price to N121.50.
The new price model was contained in a circular sent to its marketers on the 31st of May.
According to the circular, marketers are expected to sell petrol between a price range of N121.50 and N123.50.
“Please recall the recently approved pricing regime which became effective March 19, 2020, and the provision for the establishment of a monthly price band within which petroleum marketers are expected to sell PMS at the retail stations,” the circular read.
“After a review of prevailing market fundamentals in the month of May and considering marketers realistic operating costs as much as practicable, we wish to advise of a new PMS guiding pump price with corresponding ex-depot price for the month of June 2020, as follows; price band N121.50 – N123.50 per litre.
“Ex-Depot price N102.13 – N104.13 per litre. Ex-Depot for collection N109.78 – N111.78 per litre. All marketers are advised to operate within the indicative prices as advised by the PPPRA.”
The federal government, in March had said the fuel pump price will be regulated as such that it will be reflective of current realities.
The pump price was set to N125/litre at the time, and was set at N123.50 in April.