Oil marketers on Sunday have said that the pump price of petrol may reduce marginally following the fall in the global crude oil prices.
The oil marketers said that the global price of crude oil had so far determined the cost of petrol. They also noted that the recent marginal plunge in crude oil cost could lead to a drop in petrol price in Nigeria.
Punch has reported that Brent, the global benchmark against which Nigeria’s crude is priced, dropped in price by $1.66 or 4.06 per cent as at 1.20 pm Central Standard Time.
Brent traded at $39.27 per barrel at the same time, while the cost of crude in the OPEC Basket was estimated at $39.94 per barrel.
Crude oil dipped by $1.77 in OPEC when compared with what it traded on the preceding day.
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The National President, Petroleum Products Retail Outlets Owners Association of Nigeria, Billy Gillis-Harry speaking to Punch correspondents in Abuja on Sunday said marketers predicted that petrol price could dip in October.
He further said that oil marketers, particularly members of PETROAN, would continue to call for an enlarged stakeholders meeting in determining the price of petrol across the country.
Gillis-Harry said, “We will continue to insist that the arm-chair pattern of fixing prices is not correct. You saw the confusion it caused the last time. We are going to have a meeting with them (government) that will involve all the stakeholders.”
“So, hopefully by then we should be able to have proper information to give to you on the latest in price.”
“However, based on the slide in crude oil prices, there is the suspicion that petrol price may come down.”
The Petroleum Products Pricing Regulatory Agency further commenced the deregulation of the downstream oil sector in March.
The PPPRA provided petrol price bands in some months after March 2020; it eventually stopped issuing price bands, as it explained that the downstream sector had been fully deregulated.