December 21, 2024
The National President of Petroleum Products Retail Outlets Owners Association of Nigeria, PETROAN, Dr. Billy Gillis Hary, has confirmed that the Nigerian National Petroleum Company Limited, NNPCL, has slashed the ex-depot price of Premium Motor Spirit, PMS, by 12 per cent N899 per litre.
While Lagos sells for N899, Warri, Oghara, Port Harcourt and Calabar have N970 as their ex-pot price.
This price reduction follows the competition in the downstream sector, NNPCL, has slashed the ex-depot price of Premium Motor Spirit, PMS, also known as petrol by 12 per cent, from ₦1,020 per liter to ₦899 per liter, .
Dr. Harry, who described the price reduction as a welcomed development: “The reduction in the PMS price by NNPCL is a demonstration of the company’s commitment to making petroleum products more affordable for Nigerians, we commendNNPCL for responding to our call for affordable PMS prices.
“The benefits of the price reduction are many including reduced transportation costs. With lower PMS prices, motorists will spend less on fuel, leading to increased disposable income.
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“Lower fuel prices will stimulate economic growth by reducing production costs and increasing demand for goods and services. The price reduction will lead to a decrease in the cost of living, enabling Nigerians to afford basic necessities and enjoy a better quality of life.”
Dr. Hary also commended Dangote Refinery for its earlier price reduction, which he said has helped to stimulate competition in the downstream sector, adding that a report submitted by PETROAN’s technical pricing team, had highlighted the pros and cons of competitive pricing.
He said: “The report noted that competitive pricing allows companies to maintain an advantage by strategically setting prices. This approach helps businesses understand their market position, attract new customers, and boost sales.
“The report also warns that competitive pricing can lead to compromised product quality. Therefore, PETROAN is calling on the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to ensure compliance with quality assurance standards.
