The Petroleum Products Pricing Regulatory Agency (PPPRA) says it’s going to proceed to advise oil entrepreneurs on the pump worth of the Premium Motor Spirit (PMS), commonly known as petrol.
The company, in an announcement by its Executive Secretary, Abdulkadir Saidu on Sunday in Abuja, stated that entrepreneurs weren’t allowed to repair the costs of merchandise.
He stated the publication that the company had eliminated the worth cap of PMS, giving entrepreneurs the liberty to repair the worth of the commodity and promote above the stipulated worth, was not appropriate.
He recalled that the elimination of PMS worth cap and implementation of a market-based pricing regime was first introduced by the Minister of State for Petroleum Resources, Chief Timipre Sylva, in March 2020.
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This, he stated, was adopted by PPPRA’s publication saying the regulation on the market-based pricing regime, thus making a authorized framework for the coverage.
“The revealed regulation doesn’t confer on entrepreneurs, the facility to repair costs for the product as they deem match. A guiding worth will all the time be suggested by the PPPRA based on market realities.
“The agency shall monitor market trends and advise the NNPC and Oil Marketing Companies on the monthly market-based guiding price which shall include the indicative retail price at which the product shall be sold across the country,” he stated.
Saidu additional famous that Sylva had stated that the Federal Government would proceed to watch the worth of petroleum merchandise and advise on month-to-month guiding costs that assured affordable returns to operators whereas guaranteeing shoppers paid acceptable costs in keeping with market actuality and weren’t overcharged.
“The minister, in his assertion, additional harassed that the federal government’s position in a deregulated economic system was to supply, by way of the operation of the petroleum merchandise pricing regulatory company, a pricing mechanism to create a market-driven worth regime.
“For the avoidance of doubt, it’s instructive to state that no personal particular person or group has the mandate to repair the costs of petroleum merchandise.
“It is the statutory regulatory body that is saddled with the responsibility of advising guiding prices. In a deregulated market, the role of a regulator in monitoring and regulating activities in the sector cannot be over-emphasized,” he identified.