Energy

Nigerian govt set to adjust petrol pricing template

The Nigerian Government has revealed that it is considering adjusting the Premium Motor Spirit (petrol) template to address the demands of members of the Nigerian Transport Owners Association (NARTO).

The Association withheld their services recently to press home their demands.

The Petroleum Equalisation Fund Executive Secretary, Mr Ahmed Boboi, noted that the review will not necessarily increase the pump price of the product but it would cushion the plight of transporters.

He spoke at an engagement with reporters in Abuja.

He said since members of the association withheld their services over the non-increment of their cost of bridging to N9.11, the Federal Government summoned a general meeting for the stakeholders.

According to him: “We are looking for a way of coming up with even if it is a temporary measure to review the template without adding anything to cushion and provide succour for the transporters”.

He also revealed that the Federal Government is considering the possibility of transporting petroleum products for marketers by rail across the country.

It is also planning for the transportation (bridging) of gas to different parts of the country.

Bridging according to Boboi, means the transportation of petrol to all over the country to ensure that the product is sold at the same price.

The PEF categorises and pays for the transportation according to the distance.

However, the government has to wait till the framework for implementation of the gas bridging to be put in place with the passage of the Petroleum Industry Bill (PIB) that is now in the National Assembly.

On the transportation of products by rail, he explained that State Governments were already complaining that heavy-duty transportation was destroying the roads.

According to him, employing the trains to convey petroleum products will reduce the cost of transportation and the cost of road maintenance, save the roads and increase the quantity that can be transported.

“We are also looking at the possibility of getting marketers to transport products by rail. The government is reviving many critical rail lines.,” he said.

Joseph Oyekanmi

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