Despite the alarm of looming scarcity of petrol raised by some major and independent markets, the price of petrol at the various depots in Lagos has remained relatively stable, media investigation has revealed.
This is coming as the price of Kerosene has risen to over N180 per litre due to the scarcity of foreign exchange to fund importation with only one depot having stock at the weekend.
We learnt that before the ex-depot price rose to N188.50 in Eterna Oil depot, it was selling for N165 per litre.
Marketers had in recent weeks raised the alarm that the N145 per litre pump price would not be sustained due to the high cost of accessing foreign exchange.
The new pump price, which took effect from May 2016, was based on exchange rate of N280 to a dollar.
In the circular with reference number A.4/9/017/C.2/IV/690 dated May 11, 2016, which authorised the increase in pump price from N86.50 per litre to N145 per litre, the PPPRA had also directed the marketers to sell at indicative price band of between N123.28 and N133.28 at the depots.
But with the rising cost of dollar, the some marketers argued that the price of petrol should also increase to reflect the prevailing exchange rate, which is over N400.
According to the circular released by the PPPRA, the lower limit of ex-depot price is N123.28 per litre, while the upper limit is N133.28
However, market survey revealed that despite the alarm raised that the country was heading for another fuel crisis, all the marketers were selling petrol below the upper limit of the indicative price band approved by the Petroleum Products Pricing Regulatory Agency (PPPRA).
For instance, while MRS, Rahamanniya and Techno Oil were at the weekend selling at ex-depot price of N130.50, which is below the upper limited approved by the PPPRA, others were also selling at a range of N131 and N132, which is still below the approved limit.
AA Rano was selling at N131 per litre; Aiteo, N131; Capital Oil and Gas N131; Heyden Petroleum, N131; Folawiyo, N132; Integrated Oil, N132 and NIPCO Plc, N132.
However, the price of kerosene has increased in recent days as only depot had stock at the weekend, where one litre was sold for N188.50 above the N165 per litre it was sold previously.
With the high cost of kerosene at the depots, the pump price at the retail outlets will be above N200 per litre.
Speaking at Abeokuta in Ogun State when he paid a courtesy call on the state governor,Senator Ibikunle Amosun, Group Managing Director of the NNPC, Dr. Maikanti Baru had revealed that all NNPC Retail and Mega Stations were selling kerosene at N150 per litre and urged the private marketers to sell at the same retail price.
“I am calling on other marketers to emulate NNPC by selling kerosene at maximum of N150 per litre which also provides sufficient margin for them to do so. We are committed to promoting the use of Liquefied Petroleum Gas (LPG) as an alternative choice for home cooking, which is also available at our NNPC Retail stations,” Baru said.