The Federal Government said it would pay subsidy on Premium Motor Spirit from the recoveries made in the first quarter of 2016. This is contained in the latest Petroleum Product Pricing Regulatory Agency (PPPRA) template released in Abuja. It said that between January and March, the Federal Government was able to save about N10 billion as a result of selling the product above the Expected Open Market Price.
According to the new template, the expected open market price of the Premium Motor Spirit (PMS) has risen to N99.38 per litre for Independent and Major Oil Marketers and N98.62 per litre for NNPC retail outlets. It added that the expected open market price was the actual price of the product without subsidy and it was based on the current exchange rate of N197 to a dollar.
