The Petroleum Products Marketing Organisation, a subsidiary of the Nigerian National Petroleum Corporation, NNPC, has rised the ex-depot price of Premium Motor Spirit, also known as petrol, to N155.17 per litre from N147.67 per litre.
The PPMC reported this in an internal memo with reference number PPMC/C/MK/003, dated November 11, 2020, and was signed by Tijjani Ali.
H-Forbes gathered that the memo, a copy of which was seen by our correspondent, said the new ex-depot price would take effect from today Friday the 13th November 2020.
The ex-depot price is the price at which the product is sold by the PPMC to marketers at the depots.
In its PMS price scheme for November, the PPMC put the landing cost of petrol at N128.89 per litre, up from N119.77 per litre in September/October.
It stated that the estimated minimum pump price of the product would rise to N161.36 per litre from N153.86 per litre.
The National Operation Controller, Independent Petroleum Marketers Association of Nigeria, Mr Mike Osatuyi, in a telephone interview with our correspondent, said the over N7 increase in ex-depot price would convert into the rise in pump prices.
He stated, “The implication of the rise in the ex-depot price is that there is going to be an increase in the pump price. We are anticipating that the pump price ranges from N168 to N170 per litre.”
“Crude oil price is going up,” he said, noting that the Federal Government has fully deregulated petrol prices.”
Following the free trade of petrol prices in September, marketers beyond the country adjusted their pump prices to between N158 and N162 per litre to reflect the rise in global oil prices.
Petrol price band had also increased from N121.50–N123.50 per litre in June to N140.80-N143.80 in July and N148-N150 in August.
Timipre Sylva, The Minister of State for Petroleum Resources, stated that in September that the Federal Government had stepped back in determining the price of petrol, adding that market forces and crude oil price would carry on to control the cost of the production.