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Kachikwu Slams NNPC For Raising Fuel Price By N4

The Minister of State for Petroleum, Dr. Ibe Kachikwu, says the recent N4 increase in price of petrol in Nigerian National Petroleum Corporation filling stations, is wrong.

Kachikwu said this after receiving an award at an event organised by the Petroleum Products Pricing Regulatory Agency in Abuja on Sunday.

NNPC had been selling fuel at N141 but on Thursday, November 3 increased it by N4 to the government benchmark of N145. He said;

“It is obviously humbling and too early in the day to receive an award and to be recognised so soon in some of the things we are trying to do. It is humbling, I thank them very much.

“First, I am not aware that the NNPC has increased price. I need to look into that. It is a bit of surprise for me, because there are processes in doing this, if they have done that, it means they are doing it wrongly.

“Let me find out what the facts are.”

Kachikwu said the increase could be as a result of foreign exchange differentiation. He said there were areas within government controlled aspects like payments to the Ministry of Transport and the Nigerian Ports Authority that were foreign currency denominated. He said:

“Having said that, the reality is that what we did at the point where we did some liberalisation, was to enable the free market float the price.

“Obviously, as you look at foreign exchange differentiation and all that, it would impact. The worst thing you could do is to go back to an era where we basically were fixing prices.

“What we ought to be doing was watching the prices, making sure that they are not taking advantage of the common man; making sure that the template is respected.

“One of the things I think we had hoped to do, which we should still do, before we embark on any price increase is to work on those templates.”

He, however, promised to discuss with industry operators. He said:

“Those who are investing must be able to predict the pricing methodologies, the pricing consequences and the actions, to be able to justify their investments.

“At the end of the day, I think PPPRA is the one that has the authority to say it is time the template justified some level of movement.

“Otherwise, you have a crisis of individual decisions on pricing.”

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  • Cornel Nwankwo

    Why telling Nigerians, if NNPC increased the price of fuel, you as a minister knows what to do to get it back to its normal price.

  • chika bibian

    God help us

    • Cornel Nwankwo

      Amen, God will help Nigeria

  • Ember things on point…naso

  • Mezzy Gilbert

    Naija my contri

  • emekachilaka

    just like that the country the country is not getting better at all

  • Kenny D Osonwa

    Oga, say something important..

  • Olovo Obinna

    Why angry…since u ask them marketers to source fuel independently, ,what then do u expect from them…

    • Kenny D Osonwa

      Imagine ooo.

  • WillieBravo

    So these guys still dey increase this price inspire of the public outcry.

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