By AMID worsening economic hardship orchestrated by the removal of fuel subsidy, the Nigerian National Petroleum Company Limited (NNPCL) has further jacked up the pump price of Premium Motor Spirit (PMS) by 12.7 per cent.
The pump price, according to report, was increased by N113.
Stonix News gathered that the price moved from N897 to N1,030 per litre at various outlets in Abuja and N1,015 in Lagos, on Wednesday.
Mele Kyari
The new price regime followed NNPC’s decision to terminate its exclusive purchase agreement with the Dangote Refinery.
Recall that NNPC had, on Monday, ended the initial agreement, paving the way for other marketers to directly purchase petrol from the refinery.
With this, NNPC is no longer the sole off-taker as marketers are now free to negotiate prices directly with the Dangote Refinery.
This shift aligns with the current practices of fully deregulated products, enabling refineries to sell to marketers on a willing-buyer, willing-seller basis.
Just last month, NNPC increased the pump price to N855 per litre in Lagos and N897 in Abuja.
The company reported that it was buying petrol from Dangote Refinery at N898.78 per litre and selling to marketers at N765.99 per litre, shouldering a subsidy of almost N133 per litre.
NNPC, however, said it could no longer sustain the arrangement, hence discontinuation of its middleman role.
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