The Major Oil Marketers Association of Nigeria (MOMAN) has attributed the recent increase of N100 per liter in the price of imported Premium Motor Spirit (PMS) to the fluctuations in foreign exchange rates. Mr. Olumide Adeosun, Chairman of MOMAN, highlighted this during a webinar interactive session with the media.
Adeosun pointed out that the upward swing in the Investors and Exporters (I&E) window has led to the current exchange rate being close to N825 to the Dollar. This devaluation adds N100 to the cost of importing a single liter of PMS into the country, consequently leading to an increase in pump prices nationwide.
MOMAN continues to support the policy of deregulation in the petroleum industry, understanding the challenges faced by the Nigerian public during this time. The association believes that a liberalized market with cost-reflective prices at fuel stations will foster fair competition and transparency.
While applauding the authorities for opening the market to various players for petroleum product imports, MOMAN calls for measures to ensure a level playing field and fair access to foreign exchange. Adeosun emphasizes the importance of public trust and engagement to navigate the gradual process of subsidy removal and stabilize the downstream market.
In the spirit of transparency, MOMAN advocates for government and employers of labor to implement palliative measures for less privileged individuals facing hardships. The association believes that such measures, when widely publicized, can alleviate the concerns of the public and ensure a smooth transition towards a liberalized market.
Overall, MOMAN’s focus is on enhancing operators’ efficiency to offer competitive pricing choices, fostering fair competition, and ensuring full value for customers at fuel pumps. By addressing challenges related to foreign exchange access and maintaining a level playing field, the petroleum industry can achieve sustainable growth and consumer benefit.