The Independent Petroleum Marketers Association of Nigeria (IPMAN) yesterday said the outright deregulation of the oil sector would have been preferable to increase of pump price to N145 per litre.
The association advised the Federal Government to deregulate the pump price of the Premium Motor Spirit (PMS).
This is coming on the heels of the yesterday announcement of the new pump price with immediate effect.
Speaking with The Nation on phone, its Vice Chairman, Alhaji Abubakar Maigandi Dankigari said the new price would breed corruption in the sale of the product.
According to him, had government deregulated the price, some marketers could have sold it below the new price but with the announcement of N145 per litre, some marketers would still sell the above new pump price.
He submitted that “the best solution is that they should deregulate the sector. They should allow the prevailing market forces. Those who want to sell N145 per litre can sell. Those who can sell N130 can sell. But immediately the government gave that directive that the marketers should sell at that rate, it is what is causing corruption.
“So, if the government will take the decision of deregulating the petrol price and allow the market prevailing rate, the price will not even reach N145. But now the price will likely exceed that N145 because of the monopoly of the terminals.”