Timipre Sylva, Minister of State for Petroleum Resources made known that the Federal government will not stop its involvement in regulating the retail pump price of petrol in order to protect the people from exploitation by oil marketers.
Since the March 19 deregulation of the downstream sector of the petroleum industry, oil prices have been reviewed on two occasions and landing costs reduced also. Despite this, oil marketers have refused to cut down the prices of oil.
Sylva made known that Petrol and Kerosene are essential in the country, the government there cannot leave the prices of these products for the oil marketers. The Petroleum Products Pricing Regulatory Agency (PPPRA) would continue to its involvement in price regulation. The recent price-fixing not only allows profit for marketers but at the same time protects consumers from exploitation by making available a price band.
The Minister made known that the government is aware of an expected jump in the price of crude oil which would impact PMS pump prices. The government is already looking into making available a cheaper substitute for Petrol. Which will be like a compressed natural gas for vehicles.
Going further, he stated that the prices of food continue to plunge despite the decline in prices of food. Other essential services like Transportation is also experiencing a jump in price. He, therefore, stated that the marketers would be blamed if there happens to be an increase in prices of petrol again which will lead to a definite plunge in the price of food items.
The Liquefied Petroleum Gas (LPG) penetration policy that was supposed to kick start in April and May was delayed as a result of the spread of the epidemic in Nigeria. He made known that this policy would kick start again later towards the end of June 2020. The minister stated that the draft for Petroleum Industry Bill (PIB) is done. It would be presented first to President Muhammadu Buhari to approve and subsequently presented to the National Assembly.
Also, Mele Kyari, the Group Managing Director of the Nigerian National Petroleum Corporation made known that it is a slow relief of the crude oil glut at the international market. Also, he disclosed that the restoring of Port Harcourt refineries by the government has been stopped as a result of the outbreak of the pandemic disease and a limited number of people to undertake the rehabilitation
