The Federal Government has assured that the pump price of petrol will remain at N162 until it agrees with the Organised Labour for full deregulation of the downstream petroleum sector.
Timipre Sylvia, the Minister of State for Petroleum Resources, in a media chat in Abuja, said The Minister said as soon as the government and the Organised Labour agree on the process of putting infrastructure in place, Nigeria will deregulate.
“We have agreed between labour and us that we need to put a framework in place for the implementation of deregulation.
“More or less there is a consensus across the table now that deregulation is desirable. But how do we achieve it? That is the question now.
“But labour and us have agreed on the process of putting the Infrastructure and the process in place.
“And once we are able to agree on that process with labour, then we are ready to deregulate.
“So we will keep it here at N162 within that band now for the time being but we are also in the time at the moment trying to work out to allow the deregulation to come to fruition.
“Because right now we don’t even have a choice anymore. It is a matter of law. But we have to ensure that this happens. We have to ensure that ordinary Nigeria is well catered for before that law is operated,” Sylvia said.
The minister revealed that there is a consensus that the Federal Government should deregulate the sector. He said it is now constitutional for Nigeria to deregulate the oil and gas sector, even though he refused to state when it would commence.
“I cannot give you a timeline now. But it is not going to be too far from now because we have done quite a lot of extensive work.”
Sylvia explained that President Muhammadu Buhari will speak on the Petroleum Industry Bill (PIB) on Wednesday. He revealed that the oil industry has cut costs by 5 per cent.
He said Vice President Yemi Osinbajo is leading in the process of deregulation with a lot is already done on the deregulation process