LCCI, NECA caution against petrol price deregulation without competition
By Chikodi Okereocha and Okwy Iroegbu-Chikezie
The Lagos Chamber of Commerce and Industry (LCCI) and the Nigerian Employers Consultative Association (NECA) have called for a level-playing field in the downstream oil sector.
They were reacting to weekend’s increase which takes petrol price to between N168 and N170 per litre at the pump.
A Petroleum Pricing Marketing Company (PPMC) circular dated November 11 informed petrol marketers of the changes in wholesale price, otherwise called ex-depot price. The letter, with reference number PPMC/C/MKT/003 and signed by Ali Tijani, was approved by the management on November 12.
Maintaining a steady rise since the federal government opted for full deregulation of the downstream segment of the petroleum industry earlier this year, the price of PMS has risen from about N121 in June to N170 this month.
The LCCI said the way out of pricing and deregulation conundrum is to accelerate the process of domestic refining of petroleum products and creating a competitive market framework.
Anger as petrol pump price hits N170 per litreYusuf observed that if otherwise, the deregulation policy would face a major risk of being derailed.
“We would be back to the subsidy regime with all the attendant inefficiencies and corruption,” he said.
