* Fuel prices are determined by free market forces – NNPC
By Nudoiba Ojen
The Executive Vice President of Downstream, NNPC Ltd., Mr Segun Adedapo, has said that the company is awaiting the September 15 timeline provided by Dangote Refinery to commence lifting of petrol.
Adedayo said that foreign exchange illiquidity has been a significant factor influencing the fluctuation in prices of petrol, which are governed by unrestricted free market forces, as provided for in the Petroleum Industry Act (PIA), 2021.
According to a statement by NNPCL Chief Corporate Communications Officer, Olufemi Soneye, the NNPCL boss spoke on TVC News’ “Journalists’ Hangout” show on Thursday.
He explained that the current fuel scarcity was expected to “subside in a few days as more stations recalibrate and begin selling PMS.”
He said that Section 205 of the PIA, which established NNPC Ltd., stipulated that petroleum prices were determined by unrestricted free market forces.
Adedapo said, “The market has been deregulated, meaning that petrol prices are now determined by market forces rather than by the government or NNPC Ltd. Additionally, the exchange rate plays a significant role in influencing these prices.”
The NNPCL boss, who said no right-thinking individual would be comfortable with the current fuel scarcity, added that the NNPCL has nearly a thousand filling stations nationwide and was collaborating with marketers to “ensure that stations open early, close late, in order to maintain adequate fuel supply to meet the needs of Nigerians.”
He assured Nigerians, “We are also engaging relevant authorities to ensure products diversions are prevented and timely deliveries to all stations are ensured. The scarcity should ease in the next few days as more stations recalibrate and begin operations.”
