The assertion attributed to the Nigeria National Petroleum Company Limited (NNPCL) that there is no plan to increase gasoline prices despite the naira’s decline versus the dollar is alarming, according to the Petroleum Product Retail Outlet Owners Association of Nigeria (PETROAN).
It stated that given the harsh reality of the exchange rate, it would be foolish for marketers to think the price of gasoline won’t go up.
Francis Dimkpa, the chairman of PETROAN for the state of Rivers, stated in an interview with xandertech that PETROAN is keeping an eye on and progressively adopting the government’s policies with the hope that the refineries would start operating and the situation will settle.
Despite the exchange rate, he guaranteed that the association’s members will continue to supply gasoline across the country at the greatest price.
“For us to assume that the price of fuel will remain consistent will actually be dramatic.
“We do not understand the meaning of the statements made by the Federal Government and NNPCL that the price of fuel will no longer increase or decrease.
“Petroleum Product Retail Outlet Owners Association of Nigeria is watching closely at the effect of exchange rate on the price of fuel, and now that the price has been pushed to N600, we expect that the falling of the exchange rate, it might drop or the rising of the exchange rate, it might get higher,” he said.
Despite being a private limited business, NNPCL made a statement claiming it had no plans to raise the price of fuel, which looked to be price fixing for other marketers. Dimkpa responded by saying that NNPCL is still the industry leader and can influence the price of gasoline.
“NNPCL may not be regarded as fixing the price of fuel, but from our perspective, NNPCL is like the industry leader, so NNPCL has what it takes to determine or drive the price of fuel,” he continued.
They are driving and directing the price of petroleum, not regulating the price.
The four refineries in the nation must begin operating, according to PETROAN, in order to avert the catastrophe brought on by the elimination of fuel subsidies.