The Independent Petroleum Marketers Association of Nigeria (IPMAN) has issued a stark warning about the ongoing escalation of fuel prices in the country.
Speaking to reporters, Chinedu Okoronkwo, the National President of IPMAN, underscored that the cost of Premium Motor Spirit (PMS), commonly referred to as fuel, will keep experiencing upward pressure as long as the US Dollar maintains its surge in the foreign exchange market.
He said: “Nigerians should understand that with fuel subsidy removal, the government is no longer determining pump prices but the market forces. The product is bought in dollars. The dollar is around 890/$1 now. As the dollar climbs, fuel pump prices will continue to go up.”
As a solution, he urged the government to double up efforts to make Compressed Natural Gas (CNG) available for Nigerians.
“Government should make conscious efforts towards making CNG available for Nigerians”, he stated.
Naira had dropped further to the dollar, exchanging at N782.38/$1 on Wednesday at the official market.
But, at the parallel market, it exchanged at 910/$1.
Consequently, the pump price of the product is expected to exceed N617/per litre.