Lokpobiri attributes hike in petrol price to deregulation

Sen. Heineken Lokpobiri, Minister of State (Oil) Petroleum Resources, on Thursday, said the Federal Government was not responsible for the recent increase in the price of petrol across the country.

The minister said this while briefing State House correspondents after a meeting with Vice-President Kashim Shettima.

Lokpobiri said the industry had been deregulated, and that the government was not fixing prices.

“This sector is deregulated. And we believe that with the availability of products, the price will find its level.

“What is important is that the product is available in the country; between now and the weekend, there will be availability of the product across the length and breadth of the country,” he said.

He said it was important to convey to Nigerians that the President was empathetic about what was going on in the country.

“He is concerned about the hardship of Nigerians, and that was why he directed the Vice President to call this meeting, for us to reflect on what is going on in the country.

“But, we believe that by the time there is availability of the product across the country, the price itself will stabilise,” said the minister.

Lokpobiri said Shettima had summoned him along with Mr Mele Kyari, the Group Managing Director of Nigerian National Petroleum Company Limited (NNPCL) and Malam Nuhu Ribadu, the National Security Adviser, over the recent hike in the price of petrol.

Also, Mr Ogbugo Ukoha, Executive Director, Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), said regulatory efforts were geared toward stabilising supply of petrol in the country, which he said would impact positively on stability of price.

“The objective of the regulator is to ensure that there’s increased operating hours from all loading depots; vessels are being cleared promptly and extended hours where safety can permit truck outs as well.

“More importantly also is the reinforcement of the support being given to local refinancing, because with increased production there will be higher supply, which will stabilise the price,” said Okuoha.

It will be recalled that the price of petrol was increased from N855 to N897 per litre, depending on the location, from the previous N568-N617.