The Petroleum Products Marketing Company, a subsidiary of the Nigerian National Petroleum Corporation, has increased the ex-depot price of petrol to N155.17 per litre from N147.67 per litre.
Jomog News Nigeria reports that the Petroleum Products Marketing Company (PPMC) has adjusted the ex-depot price of Premium Motor Spirit, also known as petrol, from N147.67 to N155.17.
This was disclosed in an internal memo with reference number PPMC/C/MK/003, dated November 11, 2020, and signed by Tijani Ali which showed that the landing cost average for PMS has increased from N119 in September and October to N123 in November.
The memo which surfaced online and dated November 11, showed that the new price regime becomes effective on November 13, 2020.
The ex-depot price is the price at which the product is sold by the PPMC to marketers at the depots.
In its PMS price proposal for November, the PPMC put the landing cost of petrol at N128.89 per litre, up from N119.77 per litre in September/October.
It said the estimated minimum pump price of the product would increase to N161.36 per litre from N153.86 per litre.
Mr Mike Osatuyi, who is the National Operation Controller, Independent Petroleum Marketers Association of Nigeria, said the over N7 increase in ex-depot price would translate into an increase in pump prices.
He said, “The implication of the increase in the ex-depot price is that there is going to be an increase in the pump price. We are expecting the pump price to range from N168 to N170 per litre.
“Crude oil price is going up,” he said, noting that the Federal Government has fully deregulated petrol prices.
Following the deregulation of petrol prices in September, marketers across the country adjusted their pump prices to between N158 and N162 per litre to reflect the increase in global oil prices.
Petrol price band had also risen from N121.50–N123.50 per litre in June to N140.80-N143.80 in July and N148-N150 in August.
Timipre Sylva, who is he Minister of State for Petroleum Resources, said in September that the government had stepped back in fixing the price of petrol, adding that market forces and crude oil price would continue to determine the cost of the product.
