The Nigerian National Petroleum Corporation (NNPC) says it will maintain its current ex-depot price of premium motor spirit (PMS), better known as petrol, until the end of negotiations with organised labour.
Kennie Obateru, group general manager, group public affairs division of NNPC, disclosed this in a statement on Friday.
This development comes after Mele Kyari, NNPC general managing director (GMD), said the NNPC can no longer bear subsidy in its books.
Speaking during a ministerial briefing on Thursday at the Presidential Villa, Abuja, Kyari said NNPC can no longer bear the burden of underpriced sales of premium motor spirit (PMS), better known as petrol, adding that the market price need to be implemented.
He said NNPC pays between N100-120 billion a month to keep the pump price at the current levels.
“The price could have been anywhere between N211 and N234 to the litre. The meaning of this is that consumers are not paying for the full value of the PMS that we are consuming and therefore someone is paying that cost,” he had said.
“As we speak today, the difference is being carried in the books of NNPC and I can confirm to you that NNPC may no longer be in a position to carry that burden.”