Nigerians will soon pay lower fuel prices thanks to renewed negotiations between the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) and refineries in the country......Read The Full Article>>.....Read The Full Article>>
PETROAN president Billy Gilly-Harry revealed that the body is in negotiations with the Aradel Refinery, Dangote Refinery, and Edo Refinery, as well as the Nigerian National Petroleum Company (NNPC Ltd), to reduce fuel’s landing costs so that marketers can sell to Nigerians at better rates.
PETROAN negotiates with NNPC, refineries
Speaking in a chat with the Sun newspaper, Gilly-Harry expressed hopes of a positive outcome to the negotiations, adding that Nigerians would soon be able to access fuel at cheaper rates.
PETROAN is leveraging its numbers in the negotiations, according to its president, and also engaging the refineries with data provided by these members, which they use for product allocation.
Gilly-Harry added that when the NNPC finally brings the Warri and Kaduna refineries back into business, Nigerians can expect prices to drop further due to increased supply.
He said:
“By the time we have all these refineries running and other ones producing, the market will be flooded and we can begin exports.”
This means that an increased supply of fuel will allow market forces to work and bring about better pump prices for Nigerians. It will also eliminate the incidences of long fuel queues and increased transportation fares, which Nigerians know to be characteristic of the festive seasons.
About a week ago, Legit.ng reported a drop in fuel pump prices from N1,200 to N1,025, driven by market competition between the Dangote Refinery and the Port Harcourt Refinery.
According to NNPC, the Port Harcourt Refinery is not yet fully operational and only supplies a few marketers and the NNPC retail outlets.
Oil marketers requested Dangote Refinery lower its prices from N970 per litre to match the NNPC, which has also crashed its prices by N20.
Petrol landing cost drops
Meanwhile, Legit earlier reported that the cost of landing petrol dropped by N36 to N900.28 per litre. The information was based on data from the Major Oil Marketers Association of Nigeria (MOMAN).
The rate represented a 3.62% decline from the previous N936.75 per litre recorded last week. According to reports, the price reduction was due to crude oil prices and foreign exchange rates.
