Petrol: FG Rules Out Price Control Measures Despite Middle East Crisis

Despite the worsening Middle East crisis that has already pushed volatility in global oil markets, the Federal Government has submitted that there are no plans to take price control measures in respect of the pump price of petrol.

Minister of Finance and Coordinating Minister of the Economy, Mr Wale Edun, said the market-based pricing of petroleum products will remain while interventions may be considered later.

 Team@orientactualmags.com learned that the Finance minister, who said this while appearing on Channels TV’s Politics Today programme on Wednesday, said measures will be taken to ease things for the people while there will be no direct involvement in activities in the oil sector.

‘Rather than now reverting back and taking a backward step, we will look at every other measure that can help the cost of living of Nigerians without resorting to non-market pricing.

It is the market price. That is what has been instilled by Mr President that was missing for so long, market pricing of petroleum products’ he said.

While the Middle East crisis has continued to affect global oil markets, the government, he noted, will however respond through targeted policy measures and not price control measures.

‘As one of the ways to reduce transportation costs,  the president immediately announced 100,000 extra CNG conversion kits to enable vehicles to convert to CNG fuel, which is maybe 25 to 30 per cent of the cost of petrol’ he said.

Mr Edun also said Nigeria’s improved refining capacity will help the country to meet local needs.

‘Our demand is about 50 million litres per day, and the refiners say they can meet that demand, so, we are in a relatively strong position’ he said.

The Finance minister added that the government will continue to explore initiatives that will help to reduce the cost of living without disrupting market pricing while noting however that the government may eventually intervene if petrol prices rise sharply.

‘Normally, given the policies and philosophy of this government, it would always have to be a last resort’ he said-Team@orientactualmags.com  Do you have any information you wish to share with us? Do you want us to cover your event or programme? Kindly send SMS to 08035023079,  08059100286, 09094171980 or get in touch via orientactualmag@gmail.com.  Thank you