Contrary to the statement credited to Dangote refinery, the Nigerian National Petroleum Company Limited (NNPCL) has said that foreign exchange (forex) illiquidity has been a significant factor influencing the fluctuation in prices of Premium Motor Spirit (PMS).
This, it said, is governed by unrestricted free market forces, as provided for in the Petroleum Industry Act (PIA), 2021.
TheHintsNews reports that Dangote refinery had claimed that only NNPCL can determine the prices of petrol.
Speaking on TVC News’ “Journalists’ Hangout” show on Thursday, the Executive Vice President of Downstream, NNPCL, Mr. Adedapo Segun considering the fact that the market has been deregulated, market forces rather than NNPCL determines prices of petrol.
He said: “The market has been deregulated, meaning that petrol prices are now determined by market forces rather than by the government or NNPCL. Additionally, the exchange rate plays a significant role in influencing these prices.”
Segun, in a statement issued Thursday by Its Chief Corporate Communications Officer, Olufemi Soneye explained that the current fuel scarcity was expected to “subside in a few days as more stations recalibrate and begin selling PMS.”
He added that Section 205 of the PIA, which established NNPCL stipulated that petroleum prices were determined by unrestricted free market forces.
On the commencement of lifting petrol from the Dangote Refinery, Segun stressed that the NNPCL was awaiting the September 15th timeline provided by the refinery.
He pointed out that no right-thinking individual would be comfortable with the current fuel scarcity.
According to him, NNPCL has nearly a thousand filling stations nationwide and was collaborating with marketers to ensure that stations open early, close late, in order to maintain adequate fuel supply to meet the needs of Nigerians.
“We are also engaging relevant authorities to ensure products diversions are prevented and timely deliveries to all stations are ensured. The scarcity should ease in the next few days as more stations recalibrate and begin operations,” Segun assured.