Despite multiple controversies about the pump price of petrol over the last few months, the federal government has yet warned that a possible hike in the petrol pump price could be around the corner. This new update is coming after the international crude oil price hit a new high of ₦22,845 ($60) per barrel. The government is saying that the new international price of crude oil is expected to have a direct impact on the price of all refined products such as petrol (PMS).
The federal government of Nigeria has warned that the pump price of Petrol fuel will soon go up because of the new price of crude oil
Mr Timipre Sylva, the Minister of Petroleum Resources (State), gave this update about a possible petrol price hike during the recent launch of a new program for the Nigerian oil price. He says the NNPC has no way of reducing the burden of high fuel price through subsidy anymore because such was never even captured in this year’s budget. As a matter of fact, this controversial issue of fuel subsidy removal has caused a rapid increase in petrol fuel pump price from 121.50 to 170 over the last 4 months.
>>> Earlier report: FG expresses worry over looming fuel scarcity in Nigeria
Over the last weekend, the international crude oil market experienced a significant 17% price increase from ₦15,805 ($41.51) to ₦22,594 ($59.34 or approx. $60) per barrel. Ever since that time, the price of crude oil has been fluctuating around that figure and this is the reason why the federal government is warning of a possible reflection on the actual pump price of petrol fuel in the retail market.
Below is a press report video that also sheds more light on the Federal Government’s warning.
Get ready for another hike in petrol price –FG