Abuja - The Federal Government may further reduced the price of petrol following the continued fall in crude oil price according to the outgoing Executive Secretary of the Petroleum Products Pricing Regulatory Agency, (PPPRA) Farouk Ahmed.
Ahmed made the disclosure while handing over to the most senior officer of the PPPRA, Moses Mbaba, in Abuja on Thursday.
He said that as of February 3, 2016, about one month after the review of the pricing template of petrol, the country had saved N2.6bn as over-recovery on the product.
He stated that the decision on the review of the pump price of Premium Motor Spirit, popularly called petrol, would be taken next month by the Minister of State for Petroleum Resources, Dr. Ibe Kachikwu, after due consultation with stakeholders, and based on the price of crude oil in the international market.
Also read: PDP faults Buhari on new petrol pump price
He added that due to the current state of over-recovery, the PPPRA was recovering some money from the Nigerian National Petroleum Corporation and oil marketers.
Ahmed also noted that as of February 16, 2016, the country recorded over-recovery of N13.81 per litre of petrol, stating that this meant that the landing cost of PMS was lower than the selling price by N13.81.
However, as of the close of business on Thursday, the over-recovery had dropped to N11.74 per litre.
- News 24