NNPC increases fuel pump price above N1,000

Information reaching the OsunReporters News confirmed that the Nigerian National Petroleum Company Limited (NNPC Ltd) has increased the pump price of petrol.

___The product which previously sold for N897 in Abuja, the nation’s capital, currently sells for N1,030.

Rwports from Lagos confirmed that fuel which previously sold for N885 per ltire is now being sold at N998 amid long queues.

This development comes after the NNPC decided to terminate its exclusive purchase agreement with Dangote Refinery.

___Reports also revealed that the Nigerian National Petroleum Company Limited (NNPC Ltd) is ending its exclusive purchase agreement with Dangote Refinery, opening up the market for other marketers to buy petrol directly from the refinery.

___This means the NNPC will no longer be the sole off-taker, and marketers can now negotiate prices directly with Dangote Refinery.

This development aligns with the current practices for fully deregulated products, where refineries can sell directly to marketers on a willing buyer, willing seller basis.

___On Wednesday morning that NNPC Ltd outlets in the Central area of Abuja, the Federal Capital Territory, adjusted the pump price of petroleum to N1,030.

The NNPC had claimed in September that it was buying petrol from Dangote Refinery at N898.78 per litre and selling to marketers at N765.99 per litre, shouldering a subsidy of almost N133 per litre.

____However, the company said this arrangement is no longer sustainable.

The NNPC lifted about 103 million litres of petrol from Dangote Refinery between September 15 and 30. The refinery was able to load 2,207 of the 3,621 trucks sent to it within the period under review.

__The vehicles carried just 102,973,025 litres of the planned 400,000,000 litres of petrol earmarked to be lifted from the refinery at 25 million litres per day.

More details soon…