Ebun Olowu
Nigeria’s Federal Government has said that the price of Petrol will now be fully based on the forces of demand and supply.
Speaking at a press conference in Abuja on Tuesday September 8 2020, the General Manager (Admin and Human Resources) of the Petroleum Products Pricing Regulatory Agency (PPPRA), Victor Shidok, said the market is now open.
“It is based on bargain power,” he said. “It is based on where you source your products.”
However, he noted that the government will ensure customers are protected from price-gouging and other ills associated with free markets.
“You could have a regulator that always stand and remain a watchdog to see how these forces are being played out, how the interest if both operators and consumers are being taken care of,” he said.
PPPRA is a Federal Government agency established in 2003 to monitor and regulate the supply, distribution and prices of petroleum products in the country.
The Minister of State for Petroleum Resources, Chief Timipre Sylva, had stated earlier that Nigeria has gone into full deregulation and market forces now determine the price of the product.
The deregulation has been singled out as the reason behind the recent hike in the price of petrol.
According to Sylvia, deregulation will be difficult for Nigerians at the initial stage but will get better in the long run.
He added that since the announcement of full deregulation in March, the Federal Government has saved over N1 trillion.