The Independent Petroleum Marketers Association of Nigeria (IPMAN) has projected that fuel price should be set between N890 to N900 per litre.
The recommendation, IPMAN said, was based on the depreciation of the naira against the United States’ dollar and the recent surge in the price of crude oil in the international market.
The marketers argued that the current pump price of N617 per litre was no longer sustainable due to the forex crisis and the increase in crude oil prices.
They further asserted that the government has quietly reintroduced fuel subsidy.
Chief Chinedu Ukadike, the National Public Relations Officer of IPMAN told the PUNCH, saying:
“I told you earlier that there is no way that the government will sustain the price of petrol at N617/litre without paying subsidy on it, going by the continued fall of the naira.
” The dollar is almost N990 at the parallel market currently, and you can see the effect of this on the pump price of diesel. Diesel is close to N1,000/litre, so the retail price of PMS should be around N890 to N900/litre.
“Therefore, it is better the government assists the masses by paying subsidy. From our records, in the United States, the super product or petrol is sold around $3.9, which is close to about N3,000/litre.
“The premium product is sold at about $2.89, which is over N2,000/litre. And if you check in other African countries you will find out that the product is being sold at between N1,200 and N1,500. But going by the forex rate in Nigeria, it should be around N900/litre.”
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