FG Increases Petrol Pumping Price to N143.80 Per Litre

FG Raises Petrol Value Band  to N140.80 – N143.80 Per Litre

The Federal Government through the Petroleum Products Pricing Regulatory Agency (PPPRA) has increased the nation’s Premium Motor Spirit, popularly referred to as petrol, value band to between N140.80 and N143.80 per litre.

In the note issued to oil marketers on July 1, 2020, PPPRA stated that “After an evaluation of the prevailing market fundamentals within the month of June and contemplating entrepreneurs’ sensible working prices, as a lot as practicable, we want to advise a brand new PMS pump value band of N140.80-N143.80 per litre for the month of July 2020.”

“All entrepreneurs are suggested to function throughout the indicative costs as suggested by the PPPRA.”

The agency had adjusted its value band on March 31, 2020 to N121.50 – N123.50 per litre to reflect the decline in landing cost following over 70 percent decline in global oil prices.

It would be recalled that the federal government had used the opportunity to remove fuel subsidy and allowed market forces to determine the price of petroleum products.

Therefore, the recent bullish run in global oil prices to over $40 a barrel, necessitate an equal increase in value band.