The pump price for Premium Motor Spirit (PMS), popularly known as petrol, has been increased from N165/litre to N170/litre and N190/litre in the country.

It was gathered that the development followed an agreement between the Federal Government and oil marketers after the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) held a meeting with the oil marketers.

The Star had last week reported that the Major Oil Marketers Association of Nigeria (MOMAN) said the regulated N165 pump price for petrol was no longer realistic.

The MOMAN chairman, Mr Olumide Adeosun, said this last Wednesday during a virtual consumer protection workshop for Oil Marketers by the Federal Competition and Consumer Protection Commission (FCCPC).

Adeosun, who was reacting to the lingering fuel scarcity across the country, blamed the situation on the ongoing Russia-Ukraine war which had disrupted global energy supply distribution.

The MOMAN chairman likened the fuel scarcity to the COVID-19 pandemic era with some countries moving to halt exportation of petrol in favour of their own national energy securities.

However, sources privy to the meeting between the NMDPRA and oil marketers said it was agreed that the pump price of petrol should be increased by N10 per litre.

Oil marketers denied holding a meeting with the NMDPRA on the hike of petrol pump price but sources close to the matter disclosed that the meeting actually held.

READ ALSO: N165 petrol pump price no longer realistic ― Marketers

The officials said the NMDPRA agreed marketers could increase their pump price to N165-N175/litre for filling stations inside towns, and a maximum of N190/litre for those on the outskirts.

“The meeting was held and everybody was told to keep mum. A band of N165-N175/litre was approved for the filling stations inside towns, while N189 was approved for those outside towns,” PUNCH quoted a source as saying.

Meanwhile, the NMDPRA spokesperson, Kimchi Apollo, did not respond to several calls made to his telephone line on Sunday.

The development was, however, confirmed by the marketers under the aegis of the Independent Petroleum Marketers Association of Nigeria (IPMAN).

Speaking, IPMAN National Operations Controller, Mike Osatuyi, said the fuel pump price was increased as a “market fundamentally determined price”.

“Petrol now sells between N175-N180 per litre depending on the area.

“Petrol is now available and as you can see, the queues in Lagos and Abuja have disappeared. We are businessmen and it’s impossible for us to run at a loss. Marketers are allowed to sell at a minimum price of N170 and a maximum of N180.

“There’s something we call market fundamentals; this is what came into play here. This is because it is impossible to bring the product into your station at N170 and sell at N165,” Osatuyi said.

The Star