Abuja, Nigeria – The Nigerian National Petroleum Company Limited (NNPCL) has clarified the reasons behind the recent increase in fuel prices, explaining that market dynamics are influencing the price surge. On Tuesday, fuel prices reached N617 per litre, sparking anger among Nigerians.
Speaking to reporters after a meeting with Vice President Kashim Shettima, Group Chief Executive Officer of NNPC, Mele Kyari, stated that the fluctuating prices are a result of market realities and the need for self-regulation within the market. He emphasized that fuel prices can both rise and fall based on these market dynamics.
Kyari also addressed concerns regarding supply shortages, asserting that there was no shortage of the product at this time.
The significant rise in fuel prices has triggered public discontent, with citizens closely monitoring the situation as they grapple with the impact on their daily lives. As market forces continue to influence fuel prices, the nation remains vigilant for any further changes in this critical commodity’s cost.
Kyari added that “When you go to the market, you buy the product, you come to the market and sell it at its prevailing market price. It has nothing to do with supply. We don’t have supply issues.
“We have a robust supply. We’ve had over 32 days of supply in the country. That’s not a problem.
Kyari assured Nigerians that this was the best way to go forward so that marketers could adjust prices when market forces come into play.
“I don’t have the details at this moment, but I know that our marketing wing acts just like every other company in this business. I know that a number of companies have imported petroleum products today.
“So, many of them are online. I’m sure my colleague would confirm this. Market forces have started to play; people have started having confidence in the market. Private sector people are importing products, but there is no way they can recover their cost if they cannot take market reflective costs,” Kyari said.
