NNPC: Market Forces will Compel Compliance with New Petrol Price


By Omololu Ogunmade

The Nigerian National Petroleum Corporation (NNPC) has called for patience on the part of fuel consumers over the implementation of the new fuel pump price, which from yesterday dropped from N145 per litre to N125.

NNPC Group Managing Director, Mr. Mele Kyari, told State House reporters in Abuja that the force of competition would eventually, force down the price of petrol and it might be cheaper than the new pump price in a matter of days.

According to him, whereas NNPC stations have complied with the new pump price, eventual compliance by independent marketers would be gradual because they had bought the product at a higher price.

He said the marketers would want to exhaust their stocks before adjusting their pump price downward from N145.

He added that the force of competition would eventually force down the price and the market would consequently correct itself.

He said: “As you are aware, this announcement was made just yesterday. Our pricing at NNPC stations, which will definitely recover our cost at N125, is the decision that the NNPC has made and we have adjusted our prices in our filling stations.

“What we also know is that private marketers have bought products above this price from the market, and we know this is a transition.

“The market will balance itself and as soon as they are able to get rid of their existing stock, the forces of competition will bring everybody to the right price and I believe that it is possible to get cheaper products in few weeks to come, cheaper than what you see today.

“Be assured everybody will rush to sell even at the N125 probably nobody will agree to buy because probably you will find cheaper products and we are very sure this will happen.”