The Federal Government has clarified that it is not responsible for the recent increase in the pump price of petrol. This follows widespread reactions from Nigerians calling on President Bola Tinubu to reverse the price hike.
Yesterday, the Nigerian National Petroleum Company Limited (NNPCL) adjusted the pump price of petrol, raising it from N897 to N1,030 per litre in Abuja, and from N855 to N998 in Lagos.
Speaking to journalists, the Minister of Information and National Orientation, Mohammed Idris, explained that the price adjustment was a result of prevailing conditions in the global energy market, not a directive from the government.
Idris stressed that the Federal Government no longer controls the pricing of petroleum products, in line with the Petroleum Industry Act (PIA).
“The NNPCL made this decision based on market realities, not government orders,” he said.
He also pointed out that since the removal of the fuel subsidy in May 2023, the NNPCL had been absorbing the price difference to maintain current prices. However, the company can no longer sustain these losses.
Idris attributed the price increase to external factors, including the ongoing crisis in the Middle East, which has caused volatility in the global energy market.
“The prices of petroleum products are rising worldwide, and NNPCL, as a limited liability company, cannot continue to operate at a loss,” he added.
He called for public understanding, assuring that despite the temporary challenges, the price of petrol would eventually stabilise and decrease in the future.
