18 June 2017, Sweetcrude, Abuja — The Nigerian National Petroleum Corporation (NNPC), Sunday, said the price of Automotive Gas Oil (AGO), also known as Diesel, has crashed to about 42 per cent, following its strategic intervention in the supply of the product across the country.
In a statement in Abuja, the NNPC said that in the first quarter of 2017, retail prices of AGO, which is one of the deregulated products, shot to an all-time high of N300 per litre in major demand centres across the country, but as at the end of May 2017 it dropped to between N175 to N200 per litre, while ex-depot prices also dropped to between N135 and N155.
Group General Manager, Group Public Affairs Division of the NNPC, Mr. Ndu Ughamadu, said such unpleasant situation as the high price of diesel, placed a huge burden on truck drivers, who need the product for transporting their vehicles; the nation’s manufacturing sector, which requires it to run its operations as well as on the masses, who need it for household power generation.
He listed some of the NNPC’s strategic interventions in this regard to include improving the supply of AGO and remodeling of the product distribution to address sufficiency issues across the country.
“Since January this year, we have worked very hard with relevant stakeholders to improve distribution from refinery depots, by implementing a robust loading programme,” Ughamadu noted.
Also, in its quest to enhance efficient distribution of AGO, Ughamadu said the NNPC was able to resuscitate its critical pipelines and depots in places such as Atlas Cove-Mosimi, Port-Harcourt Refinery-Aba, and Kaduna Refinery-Kano, noting that efforts are also ongoing to revamp and commission other critical pipelines across the country.
He stated that another key intervention that has enhanced supply and distribution of diesel, was the NNPC’s robust engagement with critical downstream stakeholders where salient issues were raised and duly addressed.
These stakeholders, he said include Major Oil Marketers Association of Nigeria (MOMAN), Nigerian Association of Road Transport Owners (NARTO), Petroleum Tanker Drivers (PTD) as well as Independent Petroleum Marketers.
Furthermore, as a result of consistent positive engagement with the Central Bank of Nigeria (CBN), he disclosed that the NNPC had equally extended the expansion of Premium Motor Spirit (PMS) Foreign Exchange Intervention Scheme to accommodate Diesel and Aviation Fuel.
He assured the general public that the NNPC would continue to ensure seamless supply and distribution of diesel and other petroleum products across the country to make the lives of Nigerians better.