The continual plunge in the price of crude oil may lead to a further reduction in the pump price of petrol by the Federal Government of Nigeria any time from April 2016.
This disclosure was made known by the outgoing Executive Secretary of the Petroleum Products Pricing Regulatory Agency (PPPRA), Mr. Farouk Ahmed, on Thursday, February 18.
According to him, the Federal Government is considering a review of the pricing template for Premium Motor Spirit, PMS, and might effect a further reduction in the price of the commodity from April 2016.
Before his handing over to Mr Moses Mbaba (most senior officer of the PPPRA) in Abuja on Thursday, Ahmed noted that as of February 3, 2016, about one month after the review of the pricing template of petrol, the country had saved N2.6bn as over-recovery on the product.
When asked if the price could be reduced in the future considering the fall in crude oil prices, Ahmed said, “Yes, but wait till March and you will see. Because the minister is fair in the decision he will take, and because he will take the decision pragmatically.”
The PPPRA is the agency of the Federal Government that regulates and fixes prices for petroleum products in the country.