The Federal Government has agreed to reduce the pump price of Premium Motor Spirit (PMS), known as petrol, by N5.
The reduction will take effect from next week Monday, December 14.
Senator Ngige, Minister of Labour and Employment, made this known while briefing journalists after a closed-door meeting with the organized labour on Tuesday in Abuja.
The meeting was held to address the recent increase of PMS from N160 per litre to N170 and the hike in electricity tariff.
Speaking with pressmen, Ngige said,
“Our discussion was fruitful and the Nigerian National Petroleum Corporation (NNPC) which is the major importer and marketers of petroleum product and customers have agreed that there will be a slide down of the pump price of PMS.
“The price cut will get us about N5 per litre and that the price cut will take effect from next Monday, a week from today.”
Ngige noted that the reduction was not meant to suspend the deregulation of the petroleum sector as it did not affect the price of crude oil.
He, however, said that the NNPC as the major importer has agreed to cut costs like freight cost and demurrage.
Ngige also said that government and labour have agreed to wait until the next meeting on Jan. 25, 2021 to address the electricity tariff.