Petrol_pump_mp3h0355

Reps Want Petrol Price Reduced To N70 Per Litre

The House of Representatives has called on the Petroleum Products Pricing Regulatory Agency, PPPRA, and Ministry of Petroleum Resources to reduce pump price of petrol to not more than N70/litre. The house was acting on a motion moved by Abubakar Hassan-Fulata. It further noted that the current price of petrol was as a result of unnecessary factors affecting the product.  It said the factors were related to transport charges, which were transferred to consumers by the marketers.

Hassan-Fulata said some unnecessary charges like lightering expenses, N4.56k; bridging fund, N6.20k; freight, N109.01k; NPA charges, N0.84k; and transport allowance, N3.36k would not be in place if the federal government can put the right infrastructures in place.  He also said the landing cost had inbuilt charges that when removed would not affect the profit margins of the importers and marketers. He told the house that jetty charges, NIMASA charges, storage charges and retailers’ margin, among others, could be removed without affecting the profit margin of the marketers. He lamented the vandalism of pipelines saying it had hiked bridging charge from a possible N2 to N6.20.

Many lawmakers also faulted the N4.56 lightering charge on the ground that vessels conveying products into the country were not docking directly at the harbours.

The motion for the review of the pump price received unanimous endorsement of members at Tuesday’s plenary, which was presided over by the Speaker, Yakubu Dogara. The House directed the Ministry of Petroleum Resources to ensure that the price review was done within eight weeks.

 

Sign up for our Newsletter

Enter your email and stay on top of things,

Subscribe!