May 27, 2024

Local refining can’t reduce petrol to N200/litre, says MOMAN

0
Local refining can’t reduce petrol to N200/litre, says MOMAN

The Major Oil Marketers Association of Nigeria has said it is impossible for the price of petrol to go as low as N200 per litre, even if the refineries are revamped.

The association noted this, following a recent report, where the Independent Petroleum Marketers Association of Nigeria said petrol price would crash below N200 per litre if the refineries became functional again.

The Chairman of the Independent Petroleum Marketers Association of Nigeria, Rivers State Chapter, Joseph Obele, had advised the Federal Government to ensure that the nation’s refineries were fixed as planned.

He said, “Until our nation-owned refineries are functional, fuel prices will keep increasing due to international variables. But when our refineries are active, Nigerians will buy fuel less than N200 per litre.

“The scarcity of dollars has made it difficult for importers of petroleum products to continue further importation. For about two weeks now, the petroleum distribution chain has experienced turbulence. This is evident on the NNPC buying portal of marketers.”

While speaking with The PUNCH, the Chief Executive Officer and former chairman of the Major Oil Marketers Association of Nigeria, Tunji Oyebanji, said the dollar exchange rate was affecting petrol price.

He also said the price of crude oil in the international market had been on a rising trend due to high demand and cuts by the Organization of the Petroleum Exporting Countries.

“Don’t you think the exchange rate of the dollar and naira is not affecting the price of petroleum products? Nigerians need to understand that the problem is actually the exchange rate, not the price of petrol.”

He noted that reports that petrol price would drop to N200 per litre was misleading.

Leave a Reply

Your email address will not be published. Required fields are marked *