Federal Government on Tuesday morning shifted ground by agreeing to the reduction in fuel price (PMS) by N5.
Minister of Labour and Employment, Chris Ngige, announced after a meeting with organised labour, said the reduction would be from N168 to N162.44 per litre with effect from December 14.
The meeting which took place at the banquet hall of the presidential villa started at 8:55PM on Monday and lasted till Tuesday morning at 1:27AM.
Ngige noted that the price reduction did not imply the suspension of deregulation because it did not affect the price of crude oil but on areas where the NNPC as the main importer had agreed that it could cut costs like freight and demurrage costs.
Ngige said that the agreed reduction of the price of PMS was a function of a joint committee of NNPC and labour representatives which devised means to cut costs.
Ngige also said a technical committee has been put in place to ensure price stability in the industry. He said the committee would report back to the larger house on January 25 and will appraise the market forces and other things that would ensure stability in the industry.
“Our discussion was fruitful and the Nigerian National Petroleum Corporation, which is the major importer and marketers of petroleum products, and customers have agreed that there will be a slide down of the pump price of PMS and that the price cut will get us about N5 per litre and that the price cut will take effect from next Monday, a week today,” Ngige told journalists.
NLC President, Ayuba Wabba, also confirmed the minister’s claims, said that the agreement was reached by both sides.