The Group Managing Director of the Nigerian National Petroleum Corporation, Dr. Maikanti Baru, on Tuesday said there was no basis for any increase in the pump price of petrol.
Baru spoke with State House correspondents shortly after meeting behind closed doors with President Muhammadu Buhari at the Presidential Villa, Abuja. He said. “I have not been directed to increase pump price, even the other price was based on recommendation from the regulated body”. He added that so far, the request for forex for importation of petrol had been met and the NNPC’s supply situation was “robust.”
Oil marketers had on Monday asked Nigerians to prepare for another increase in the pump prices of petrol due to the continued scarcity of foreign exchange to finance the importation of the product. According to them, the United States dollar hit an all-time high last week, as it exchanged for N400 at the parallel market.
An independent marketer confided in the Street Journal that the recent liberalization of the downstream of the industry by the present administration had revealed massive fraud that hitherto reigned supreme in the market.
He disclosed that one quarter of the fuel import that was being delivered was now being shipped into the country by the NNPC. He however, wondered why there has not been fuel shortage or scarcity in the country since the current price regime was introduced by the Federal Government.
Our source disclosed that due to the scarcity of foreign exchange, no independent fuel marketer could import fuel at the current exchange rate of the Naira. According to him, only NNPC could get the required hard currency to import the commodity at N400 to one US Dollar and still sell at a premium.
He however, urged the Federal Government to encourage the Central Bank of Nigeria to make forex available to oil marketers as a matter of priority. He noted that no marketer would import fuel at the current exchange rate and sell the product at the current price of N145 per litre and make profit.
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