The Petroleum Pricing Regulatory Agency (PPPRA) in Nigeria on Tuesday announced the implementation of the revised components of the Petroleum Pricing Template for Premium Motor Spirit (PMS) to N86.50 per litre.
The agency said the new price was in line with the prevailing market trend.
According to Mr Ahmed, the reversed template was approved by the Minister of State for Petroleum Resources, Dr. Ibe Kachikwu.
He said that the major components of the pricing template affected by this review were Traders Margin, Lightering Expenses, Nigeria Port Authority, Jetty Throughput, Storage Charges and Bridging Fund.
Other components revised include Retailers’ Transporters and Dealers Margins.
As contained in the breakdown, the Ex-depot price of PMS shall beN77 per litre while the pump price will be N86.50 per litre.
The new price is a reduction of 50 Kobo from the old price of N87.
It is the second time that the government will be reducing the price of petrol since the price of crude oil dropped.
The PPPRA also advised all marketers to adhere strictly to the approved Ex-depot and pump prices, as it would, in conjunction with relevant government agencies, enforce compliance.
The oil-rich nation is currently experiencing fuel scarcity, a situation that the government said would soon come to an end, as some of the nation’s refineries have started production.