The Federal Government has officially confirmed the return of fuel subsidy, as the Nigerian National Petroleum Corporation (NNPC) has insisted that petrol depot price will remain unchanged in March.
The Petroleum Products Pricing Regulatory Agency, PPPRA has already fixed the pump price of petrol at N212.61 per litre, for the month of March on Thursday.
In a tweet, Friday, the NNPC wrote, “JUST IN: #NNPC Insists No Increase in Ex-Depot Price of PMS in March”.
However, the fact that the price of the commodity is still been sold at an average of N170 in petrol stations across the country, meant that the Federal Government, through the Nigerian National Petroleum Corporation, NNPC is spending an average of N42 to subsidise a litre of the commodity for Nigerians.
The PPPRA confirmed that fuel subsidy actually officially returned in February 2021, as according to the downstream oil sector regulator, the actual pump price of PMS for February was between N183.74 and N186.74 per litre, meaning that the Federal Government paid an average of N16 per litre for PMS in the month.
Meanwhile, the Petroleum Products Pricing Regulatory Agency has deleted an earlier published template announcing that the new price of petrol has reached N212.6 per litre.
The deletion came hours after the agency published the template on its website, http://pppra.gov.ng/pms-guiding-price-for-march-2021/.
The ex-depot price is the price at which the product is sold by the NNPC to marketers at the depots.
According to the (now deleted) template which the PPPRA released midnight, petrol is expected to sell at a lower retail price of N209.61 and at an upper retail price of N212.61. Nigerian marketers usually use the upper band for pump price.