The Petroleum Products Pricing Regulatory Agency says the Petroleum Industry Act has signalled the full deregulation of the downstream oil sector.
The Executive Secretary of the agency, Abdulkadir Saidu, however said that petrol price would be adjusted in a way that would not cause hardship on consumers.
He said, “There is no gainsaying that the PIA signals the implementation of full deregulation of the downstream sector.”
“The current price will remain until negotiations with organised labour, which will develop a feasible framework that minimises the impact of a market-based pricing policy on the masses, is concluded.”
Saidu also added that negotiations between the Federal Government and labour would minimise the effect of subsidy removal upon full deregulation of the sector.
He further explained that the PIA does not automatically translate to any immediate increase in the price of PMS.
Saidu further noted the act marked the beginning of a new era in the growth and development of the entire oil and gas industry.