“We’re Not Behind The Petrol Price Hike, Show Understanding With NNPCL And Government,” FG Tells Nigerians

“We’re Not Behind The Petrol Price Hike, Show Understanding With NNPCL And Government,” FG Tells Nigerians Written By Oshiobugie John– The Federal Government has distanced itself from the recent surge in petrol prices, urging Nigerians to show understanding with the Nigerian National Petroleum Company Limited (NNPCL) and the prevailing circumstances in the energy market.....KINDLY READ THE FULL STORY HERE▶

On Wednesday, NNPCL raised petrol prices from N897 to N1,030 per liter in Abuja, N855 to N998 in Lagos, N1,070 in the North-East, and similar increases across other regions. This sparked widespread reactions, with many calling on President Bola Tinubu to reverse the price hike.

However, Minister of Information and National Orientation, Mohammed Idris, clarified in an interview with Daily Trust that the government is not responsible for the hike. He explained that the decision was made independently by NNPCL, driven by market conditions, and was not influenced by the government, as the Petroleum Industry Act (PIA) removed the government’s power to set fuel prices.

Idris noted that with the removal of subsidies in May 2023, NNPCL had been absorbing losses to keep prices steady but could no longer sustain this. “The price increase is due to several factors, including global market volatility, such as the ongoing Middle East crisis. NNPCL, as a limited liability company, cannot continue operating at a loss,” he said.

The government emphasized that the hike aligns with trends in the global energy market, and Nigerians are urged to be patient as these challenges are addressed.