Jonathan lowers fuel pump price

Abuja – The Nigerian National Petroleum Corporation
(NNPC) has initiated a scheme aimed at getting
kerosene to consumers across the country at the
regulated price of N50 per litre.
This is contained in a statement issued on Sunday in
Abuja by the Group General Manager, Group Public
Affairs Division, of the corporation, Mr Ohi Alegbe.
Also the Federal Government has announced N10
reduction in the price of Premium Motor Spirit (PMS),
also known as fuel, from N97 to N87 per litre.
The Minister of Petroleum, Mrs Diezani Allison-Madueke,
made this known to State House correspondents on
Sunday in Abuja.
She said the Petroleum Product Price Regulatory Agency
(PPPRA) 'had already been directed to immediately
effect the new change from midnight on Sunday 18.
According to her, the change is in view of recent
reduction in the global price of crude oil.
''In line with Section 6 Clause 1 of the Petroleum Act?,
that it is my responsibility as the Minister of Petroleum
to announce that there will be a reduction in the pump
price of petroleum by N10, therefore the reduction will be
from N97 per litre to N87 per litre, effective as of mid-
night Sunday, Jan. 18, 2015.
''In line with this I have directed the Petroleum
Product ?Pricing Regulatory Agency and the Directorate
of Petroleum Resources to ensure there is strict
adherence to this new pricing regime as soon as it takes
effect from midnight Sunday Jan. 18, 2015.
''I do hope the entire country will benefit immensely
from this reduction in the pump price of petroleum,'' she
said.
The Minister reassured that government would continue
to ensure that the volatility in the oil market did not
destabilise the reduction in price, saying that ''we think
it's safe? to implement it at this time.''
Alegbe said the scheme 'Kero Correct' initiative' was
also aimed at cutting off the several layers of middlemen
who made it difficult for the end user to enjoy the
subsidy on the product.
The statement said that the Executive Director,
Commercial, of the Pipeline and Products Marketing
Company (PPMC), Mr Frank Amego, announced the
initiative at a one-day workshop in Abuja.
It said the workshop that was organised by the NNPC
was to enlighten some Non-governmental Organisations
(NGOs) and volunteers engaged to help monitor the
sales of the product at NNPC Mega and affiliate stations
across the country.
It quoted Amego as saying that the scheme was aimed
at getting kerosene to the Nigerians who used the
product as their domestic cooking fuel at the correct
price
He observed that though kerosene was the most
subsidised product, Nigerians had not been enjoying the
subsidy.
He said this was because of the long arbitrage system
involved in its distribution and retailing, and diversion
of the product by marketers to the construction industry
where it was used for blending bitumen.
"The Kero Correct initiative is thus designed to
distribute and sell kerosene directly to end users from
NNPC Retail mega and affiliate stations across the
country at the government-regulated price of N50 per
litre to ensure effective control," he stated.
He said the scheme which would be officially launched
soon, would involve the distribution of a total of 1,500
trucks of kerosene across NNPC Retail's mega and
affiliate stations across the country.
This, he said, was to ensure that each consumer gets at
least 25 litres of the product over the next three months.
Courtesy: vanguard news
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