NNPC crashes diesel price to ₦175 nationwide

The Nigeria National Petroleum Corporation (NNPC) said it has reduced the price of Automotive Gas Oil (AGO), also known as Diesel to ₦175. This was disclosed in a statement by signed by Ndu Ughamadu, Group General Manager, group public affairs division of the corporation on Sunday.

NNPC said the reduction saw prices fall to ₦175 - ₦200 from ₦300.

The statement said; “It would be recalled that in the first quarter 2017, retail prices of AGO, which is one of the deregulated products, shot to an all-time high of ₦300/litre in major demand centres across the country.

“Such unpleasant situation placed a huge burden on truck drivers, who need the product for transporting their vehicles; the nation’s manufacturing sector, which requires it to run its operations as well as on the masses, who need it for household power generation.

“However, following strategic intervention efforts by the NNPC towards sustained improvement in the supply of the diesel, the product’s retail prices as at the end of May 2017 ranged from ₦175 to ₦200 across the country (a significant price drop of about 42%), while ex-depot prices also dropped to between ₦135 and ₦155.”

Ughamadu said the supply of AGO has been improved while there has been remodelling of the product distribution.

He said; “Since January this year, we have worked very hard with relevant stakeholders to improve distribution from refinery depots, by implementing a robust loading programme.”

The corporation said it has also engaged critical downstream stakeholders and has addressed all issues raised.

The statement further read; “Another key intervention that has enhanced supply and distribution of diesel was the corporation’s robust engagement with critical downstream stakeholders where salient issues were raised and duly addressed. These stakeholders include: Major Oil Marketers Association of Nigeria (MOMAN), Nigerian Association of Road Transport Owners (NARTO), Petroleum Tanker Drivers (PTD) as well as Independent Petroleum Marketers,”.

“Furthermore, as a result of consistent positive engagement with the Central Bank of Nigeria (CBN), NNPC equally extended the expansion of Premium Motor Spirit (PMS) Foreign Exchange Intervention Scheme to accommodate diesel and aviation fuel.”