The Federal Government has directed the Nigerian National Petroleum Corporation (NNPC) to reduce the pump price of petrol from N145 to N125 with immediate effect.
The reduction was announced to reflect the current crash in the global price of crude oil.
President Muhammadu Buhari approved the new price after the Minister of State, Petroleum Resources, Mr Timipre Sylva, made a presentation to the Federal Executive Council on Wednesday.
According to the document, ”The drop in crude oil prices has the expected open market price of imported petrol below the official pump price of 145 per litre.
“Therefore, the FG is directing the NNPC to reduce ex-coastal and ex-depot prices of PMS to reflect the current market realities.”
Speaking with journalists after the meeting, Silva said the Federal Government has directed the NNPC and the PPPRA to work out the details, adding that pump prices of diesel and kerosene would also be reduced soon.
Crude oil currently sells at about $29 per barrel, dropping from about $60 in December.