The Petroleum Products Pricing Regulatory Agency on Sunday said that despite the assent of the Petroleum Industry Act by President Muhammadu Buhari, the pump price of petrol will remain at N162 per liter.
It said this in a statement signed by the Executive Secretary, PPPRA
Saidu in the statement congratulated Buhari, the Minister of State for Petroleum Resources, Chief Timipre Sylva, and the 9th National Assembly for finally making the historic Petroleum Industry Act a reality.
The PIA which provides legal, governance, regulatory and fiscal framework for the Nigerian petroleum industry, the development of host communities, and related matters, marks the beginning of a new era in the growth and development of the entire oil and gas industry.
Delivering on the promise to create an environment with a transparent, Saidu said a clear and robust legal and regulatory regime is sure to open up new vistas in the oil and gas industry, and the Nigerian economy.
The PPPRA Boss said the implementation of the PIA will foster greater investment in the sector.
According to him, it will also lead to transparency and efficient resource management, provide a more consistent standard of operations and ensure less cumbersome regulatory control of the industry, among other gains.
He said, “The PPPRA especially commends the Federal Government for taking the bold step at resolving longstanding hitches such as the issue of overlapping functions in the regulation of the sector.
“The establishment of the Nigerian Upstream Regulatory Commission (NURC), as well as the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), clearly delineates the roles of industry operators and regulators.
“There is no gainsaying that the PIA signals the implementation of full deregulation of the downstream sector. However, it remains worthy of note that the PIA does not automatically translate to an immediate increase in the price of PMS.
“The current price will remain until negotiations with organized labor, which will develop a feasible framework that minimizes the impact of a Market-Based pricing policy on the masses is concluded.”