The Federal Government has reduced the pump price of premium motor spirit alias petrol from N168 to N162.44 per litre with effect from December 14.
Minister of Labour and Employment Chris Ngige announced this on Tuesday morning following a meeting with labour leaders which began on Monday night.
The Petroleum Products Marketing Company had in November announced an increase in the ex-depot price of petrol from N147.67 per litre to N155.17 per litre, forcing marketers to increase retail price.
Ngige told the news media that a technical committee has been set up to ensure price stability in the industry.
The committee is to report back on January 25.
He said, “Our discussion was fruitful and the Nigerian National Petroleum Corporation which is the major importer and marketers of petroleum products and customers have agreed that there will be a slide down of the pump price of PMS and that the price cut will get us about N5 per litre and that the price cut will take effect from next Monday, a week today.”
Ngige explained that the price reduction was not meant to suspend deregulation because it did not affect the price of crude oil but on areas where the NNPC as the main importer had agreed that it could cut costs like freight and demurrage costs.
On electricity tariff, both sides agreed to wait till January 25 to enable the special committee dealing with complaints to conclude their deliberations.
