The Nigerian National Petroleum Corporations (NNPC) has urged Nigerians and motorists not to engage in panic buying of Premium Motor Spirit (PMS) also known as petrol, as the corporation had no plans to increase its ex-depot price in the month of March.
The Group General Manager, Group Public Affairs Division of the Corporation, Dr Kennie Obateru, disclosed this while addressing newsmen in Abuja on Friday.
This was in reaction to the new PMS pricing template released by the Petroleum Products Pricing Regulatory Agency (PPPRA) that indicated N212.61k pump price for the month of March.
Ex-depot price is the price at which oil marketers buy products at the depots, which determines the price at which petrol stations will dispense to motorists.
“NNPC stands by that statement that we issued on March 1 that we are not increasing the Ex-depot price in the month of March and that is what it is.
“There is no need for panicking and I can tell you from our own point of view that we will not increase the pump price of petrol and we are still standing by that March 1 decision.
“We have sufficiency of product in the country and there is really no need for the public to panic. Like I have stated, the ex-depot price for the NNPC is still as it is, it has not increased and it will not increase in this month of March,’’ he said.
Meanwhile PPPRA on its website on March 11, had fixed the pump price of petrol, at N212.61 per litre, for the month of March in its PMS guiding price template and said it would run from March 1 to March 31.
According to the PPPRA, based on the average cost for the period, Feb. 1st to Feb. 28th 2021, and an average FMDQ Importer and Exporter (I& E), Naira/US Dollar Exchange Rate of N403.80, the expected retail price of PMS for March 2021, stands at between N209.61 and N212.61 per litre., as the lower and upper bands respectively.
It also put the Expected Landing Cost of the commodity at N189.61 per litre, comprising the addition to the ex-coastal price, of average lightering expenses, Nigeria Port Authority Charges, NIMASA charges, jetty throughput charges, storage charge and average financing cost of N4.81, N2.49, N0.23, N1.61, N2.58 and N2.17 per litre respectively.
It further added the wholesalers’ margin of N4.03 per litre; administrative charge of N1.23 per litre; transporters’ allowance of N3.89 per litre; bridging fund of N7.51 per litre and Marine Transport Average of N0.15.
It noted that various margins brought the expected ex-depot price, that is the price at which the commodity is sold to petrol stations, to N206.42 per litre.
The PPPRA further stated that the inclusion of retailers’ margin of about N6.19 per litre, would bring the pump price of the commodity, the price at which it is sold to motorists, to N212.61 per litre.
Meanwhile a check by our news team revealed that most petrol stations were selling petrol at the old price of between N162 and N167 per litre.
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