President Muhammadu Buhari has approved the reduction in the pump price of premium motor spirit (PMS) from N145 per litre to about N130. Presidency sources hinted that the approval followed the presentation by the minister of state petroleum resources Mr Timipre Sylva to the Federal Executive Council (FEC), on Wednesday.
The sources claimed that the Minister briefed the council on the need to reduce the pump price following the global fall in oil price. It was reliably gathered that the outbreak of COVID-19, has made the international crude oil price to crash from $60 to $30, causing fear of a possible economic crisis.
The sources that going forward, the government would allow the international price of crude to determine the prices of the product in Nigeria.
Meanwhile, the Minister of State, Petroleum Resources according to unconfirmed information has scheduled to meet with members of the organized Labour in the oil and gas sector before proceeding to make the formal announcement for the price adjustment.