• Friday, March 29, 2024
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BusinessDay

Without PPPRA pricing template, filling stations jerk prices to N148

Why price of petrol would continue to be high

Filling stations across Lagos are selling petrol at N148 per litre on Thursday even as the the government agency responsible for fixing prices is yet to announce the pricing template for August.

The Petroleum Products Pricing Regulatory Agency (PPPRA) has not been able to adjust the price of Premium Motor Spirit (PMS), or petrol, because it is still working on the new template, according to a source close to the agency.

The Petroluem Price Marketing Corporaiton (PPMC) had issued a memo on Wednesday to oil marketers instructing them that the landing cost of petrol at ex-coastal transfer point is N113.70 per litre, while ex-depot price will be N138.62 per litre.

In July, the agency fixed the ex-depot price range at between N109.78 and N111.78 per litre. Ex-depot price is the amount depot owners and marketers are allowed to pay to lift products from NNPC depots for distribution to retail outlets across the country.

In July, with ex-depot price at an average of N109.78 and N111.78 per litre to the marketers, the PPPRA announced a retail petrol price band of N140.80 and N143.80 per litre price, an increase of about N31 per litre.

Marketers, betting on an increase and have started adjusting their prices accordingly.