The Federal Government yesterday, affirmed its resolve to deregulate the downstream sector, stating that the country would no longer resort to subsidy or under-recovery if oil prices regain momentum.
If the government follows through the plan, Nigerians would begin to pay cost-reflective rates for petrol, using PPPRA’s monthly guide to NNPC and marketers on the appropriate pricing regime.
The Group Managing Director of Nigerian National Petroleum Corporation (NNPC), Mallam Mele Kyari, in a television programme monitored by The Guardian, yesterday, said the Corporation would just be another player in the downstream sector.
He said: “As at today, subsidy/under-recovery is zero. Going forward, there will be no resort to either subsidy or under-recovery of any nature. NNPC will just be another player in the market space. But we will be there for the country to sustain security of supply, at the cost of the market”.
President Muhammadu Buhari had last month, approved the reduction in the price of PMS, as a direct effect of the crash in global crude oil prices.
The Guardian had reported that the new monthly pricing template which had in the last four years not being implemented, may set the Federal Government on a collision course with marketers who continue to advocate full deregulation of the sector.
Source: Guardian Newspaper
