Kerosene Subsidy Removed

The federal government has officially removed kerosene subsidy by raising the price from N50 to N83 per litre.

The Petroleum Products Pricing Regulatory Agency, PPPRA‎, in its product pricing template released over the weekend, however, stated that the N83 per litre price applies only to the Nigerian National Petroleum Corporation (NNPC), meaning that other petrol stations and dealers can sell higher than the stipulated amount.Curiously, the hike in the price of kerosene was coming at a time when the price of crude oil had dropped to record low, with the price of petroleum products, such as kerosene, fuel and diesel, among others, dropping significantly in a number of countries, like the United States‎.

This also brings to question, the recent reduction in the price of Premium Motor Spirit, announced by the Federal Government and which commenced at the beginning of the year.