The price of Premium Motor Spirit, often known as fuel, will keep rising, according to the Independent Petroleum Marketers Association of Nigeria, as long as the US Dollar appreciated on the currency exchange market.
The National President of IPMAN, Chinedu Okoronkwo, revealed this in a media interview in response to rumours of additional gasoline pump price increases.
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The head of IPMAN stated that if the dollar continues to rise in the foreign market, petrol prices will continue to surge.
He said: “Nigerians should understand that with fuel subsidy removal, the government is no longer determining pump prices but the market forces. The product is bought in dollars. The dollar is around 890/$1 now. As the dollar climbs, fuel pump prices will continue to go up.”
As a solution, he urged the government to double up efforts to make Compressed Natural Gas available for Nigerians.
“Government should make conscious efforts towards making CNG available for Nigerians”, he stated.
Naira dropped further to the dollar, exchanged at N782.38/$1 on Wednesday at the official market. But, at the parallel market dollar is enchanted at 910/$1.
Consequently, the pump price of the product is expected to exceed N617/per litre.
Three weeks ago, fuel marketers increased the fuel pump price from N539/per litre to over N600/per litre.
