The Nigerian National Petroleum Corporations (NNPC) on Friday said it has not increased the Ex-depot price of Premium Motor Spirit (PMS) also known as petrol.
The Group General Manager, Group Public Affairs Division of the Corporation, Dr Kennie Obateru, disclosed this while addressing newsmen in Abuja.
Ex-deport price is the price at which oil marketers buy products at the depots, the price is what determines the price at which petrol stations will sell to motorists.
He spoke while reacting to new PMS Pricing template released by the Petroleum Products Pricing Regulatory Agency (PPPRA) that indicted N212.61k Pumb price for the month of March.
Obateru urged Nigerians and motorists not to engage in panic buying of the products as the corporation had no plans to increase its ex-depot price.
“NNPC stands by that statement that we issued on March 1 that we are not increasing the Ex-depot price in the month of March and that is what it is.
“There is no need for panicking and I can tell you from our own point of view that we will not increase the pump price of petrol and we are still standing by that March 1 decision.
“We have sufficiency of product in the country and there is really no need for the public to panic. Like I have stated, the ex-depot price for the NNPC is still at it is, it has not increase and it will not increase in this month of March,’’ he said.
Meanwhile PPPRA on its website on March 11, had fixed the pump price of petrol, at N212.61 per litre, for the month of March in its PMS guiding price template and said it would run from March 1 to March 31.
According to the PPPRA, based on the average cost for the period, Feb. 1st to Feb. 28th 2021, and an average FMDQ Importer and Exporter (I& E) Naira/US Dollar Exchange Rate of N403.80, the expected retail price of PMS for March 2021, stands at N209.61 per litre and N212.61 per litre.
This, it said remained the lower and upper band respectively.
Giving a breakdown of the cost elements of the commodity, the PPPRA put the Expected Ex-Coastal price at N175.73 per litre, comprising Average gasoline price (FOB Rotterdam barge), and Average freight rate of N169.22 and N6.51 per litre respectively.
It also put the Expected Landing Cost of the commodity at N189.61 per litre, comprising the addition to the ex-coastal price, of average lightering expenses, Nigeria Port Authority Charges, NIMASA charges, jetty throughput charges, storage charge and average financing cost of N4.81, N2.49, N0.23, N1.61, N2.58 and N2.17 per litre respectively.
It further added the wholesalers’ margin of N4.03 per litre; administrative charge of N1.23 per litre; transporters’ allowance of N3.89 per litre; bridging fund of N7.51 per litre and Marine Transport Average of N0.15.
It noted that various margins brought the expected ex-depot price, that is the price at which the commodity is sold to petrol stations, to N206.42 per litre.
The PPPRA further stated that the inclusion of retailers’ margin of about N6.19 per litre, would bring the pump price of the commodity, the price at which it is sold to motorists, to N212.61 per litre.