Economy
NNPC Pushes For N150 Per Litre For Petrol
By Dipo Olowookere
There are strong indications that the Nigerian National Petroleum Corporation (NNPC) is planning to propose to the Federal Government a new pump price of N150 per litre price for Premium Motor Spirit (PMS) otherwise called petrol against the N145 per litre it presently sells.
This is as the embargo placed on price increase by President Muhammadu Buhari has worsened planned fuel price hike dilemma for the corporation.
According to the New Telegraph, landing cost of PMS as at last weekend has surged to N122.03 per litre, about N4 increase from the specification in the pricing template of the Petroleum Products Pricing Regulating Agency (PPPRA).
This, further checks showed, was responsible for the N4 per litre price hike by NNPC’s mega stations across the country, which hiked their pump price from N141 to N145 per litre.
Already, some independent marketers, caught in the debacle, who were selling at the N145 price before now, have adjusted their pumps to meet up with the market reality.
Further checks by the newspaper showed that seven foreign contractors, including Vitol, Petrocam and Northwest who participated actively in the importation of PMS, have abandoned the contracts.
“The NNPC top notch caught up in this dilemma have approached the president to explain the new market realities to him, but the president refused to hear any briefing on price hike,” a source at the presidency told the newspaper.
“The only option left on the table for NNPC is to push the prices at their stations to the highest point of the price mark.”
The source added that the Group Managing Director of NNPC, Dr Mainkanti Baru, would still meet with the president next week to brief him on the possibilities of declaring huge losses by the yearend due to the situation.
“Major marketers like ExxonMobil have exited the downstream while Total is on the verge of its exit. Marketers are running at loss; they are not making profits as envisaged and some of them have adjusted their pumps to accommodate price hike.
“In all these, the DPR is helpless because the N145 per litre price is still within the range,” an industry source added.
The Group General Manager, Crude Oil Marketing Department of the NNPC, Mr Mele Kyari, had earlier hinted that the nation’s difficult business environment may make it difficult to sustain the current pump price of petrol.
He spoke at the 10th Oil Trading and Logistics Africa Downstream Week in Lagos, where he also said it was impossible to import products at the current market price, at current fixed foreign exchange rate and recover one’s money.
Marketers that are currently selling below N145/ litre, he said, are doing so because they are not the importers of the fuel. “Because we (NNPC) have taken the heat, and you buy from us you can afford to go to the market and then put a ridiculous price,” he said.
However, Kyari ruled out the possibility of increasing the pump price by the government due to the economic hardship in the country, saying, “It is impossible for this government to announce tomorrow that petrol is about N150.”
“This government cannot sustain it,” he declared, maintaining that this “is the truth. The people will not take that number. But that is why the suppliers now are not importing. It is not about the foreign exchange.”
“We are in subsidy regime absolutely, there is no way you bring product today and take it and sell at N145 and get back your money, and make profit. That is not possible. You can see some marketers saying that fuel is N138.
“It is because they did not import. Somebody has taken the heat of the price.”
Few weeks before Kyari’s submission, former and present Group Managing Directors of the NNPC had also expressed fears that the current pump price of N145 per litre is no longer feasible.
They said the amount does not correspond with the price-determining components of the commodity and the fluctuations of the foreign exchange rate.
The NNPC had, in its statement, said: “They (the GMDs) noted that the petrol price of N145/litre is not congruent with the liberalisation policy, especially with the foreign exchange rate and other price determining components such as crude cost, Nigerian Ports Authority charges, etc. remaining uncapped.”
On the N145 per litre price, Kyari had said: “We have created a niche market for the forex. We have ring-fenced all forex from the upstream such that those forex will be available at a fixed price; a price that the CBN has agreed. I am part of the people who are involved in making sure that this forex is available.
“I am part of the committee allocating those forex, and I know and I can see some of you here; we gave you forex, but you returned it. And the reason that was given was that the forex was not enough to import.
“But the truth is that, that is not the truth. The truth is that if you go to the market today and buy products and land here, that you are required to sell it at N145 max. That is the main reason why people are not importing.
“It is not forex; we have addressed the forex issue.” The PPPRA has, however, left its template unchanged for seven months. “Based on 30 Days Moving Average Platts Posted Price for: 23rd April – 23rd May, 2016, the Landing Cost is 122.03 per litre; Total Margins are 18.37; while Total Cost 140.40; and Retail Price Band is between 135 and 145,” the agency said on its website yesterday.
“Meanwhile, the NNPC stations have increased the pump price of petrol at its retail outlets by N4 from N141 to N145 per litre. Though the new N145 price remains within the maximum price cap fixed by the Federal Government last May, this is the first time fuel at NNPC’s outlets will be sold at that price.
Hitherto, prices have been hovering between N141 and N143 per litre at NNPC and affiliate stations in major cities and even less at stations in the hinterlands.
The prices have been N141 in last few months until last week when it was raised to N145. Group General Manager, Group Public Affairs Division of NNPC, Alhaji Garba Deen Muhammad, however, said the N4 per litre price hike by NNPC was interplay of market forces. “Marketers can sell between N135 and N145 range price regime introduced in May.
“It is simply an interplay of market forces,” he said.
The N145 per price at NNPC, a management staff of the corporation said, was to minimise the losses the NNPC will record by the end of the year through its monopoly of importation. Already, the revenue losses recorded by the corporation had hit N35.4 billion in two months, as profits woes rocking the corporation worsened.
The monthly financial and operations report released on the corporation’s website last Thursday showed that the losses were recorded in July and August.
The NNPC stated that the force majeure declared by SPDC, as a result of vandalised 48-inch Forcados export line was a drag to NPDC, its subsidiary, and the overall group performance.
Additional information from https://newtelegraphonline.com/petrol-nnpc-pushes-n150-per-litre/
By Adedapo Adesanya
The Senate Committee on Banking, Insurance and Other Financial Institutions has called for stronger collaboration among financial sector regulators and other stakeholders to strengthen Nigeria’s financial system and support sustainable economic growth.
The committee made the call during an expanded stakeholders’ engagement in Lagos, attended by the leadership of the Central Bank of Nigeria (CBN), Nigeria Deposit Insurance Corporation (NDIC), Asset Management Corporation of Nigeria (AMCON), National Insurance Commission (NAICOM) and Nigeria Export-Import Bank (NEXIM), among other industry stakeholders and financial experts.
Chairman of the committee, Mr Adetokunbo Abiru (Lagos East), who was represented by Mr Osita Izunaso (Imo West), said stronger legislative reforms and regulatory collaboration were necessary to reposition Nigeria’s financial architecture for long-term economic prosperity.
Mr Abiru said the financial sector remained critical to investment, job creation, business expansion and macroeconomic stability, stressing that its ability to mobilise savings, channel credit to productive sectors, facilitate investment and manage risks was fundamental to sustainable economic growth.
He said the current economic realities required closer collaboration between the legislature and financial regulators, noting that challenges confronting the sector were interconnected and could not be effectively addressed through isolated interventions.
The lawmaker identified inflationary pressures, global economic uncertainties, cybersecurity threats, low insurance penetration and the need to diversify Nigeria’s export base as some of the challenges requiring coordinated policy responses.
He said the engagement was aimed at generating practical solutions to strengthen the country’s financial architecture and support sustainable economic growth.
According to him, monetary policy, financial safety nets, banking institutions, the insurance industry and export finance were interdependent components of a stable financial system and must therefore be strengthened collectively.
The Commissioner for Insurance and Chief Executive Officer of the National Insurance Commission (NAICOM), Mr Olusegun Ayo Omosehin, said the Nigeria Insurance Industry Reform Act (NIIRA) 2025 had contributed significantly to stabilising and repositioning the insurance sector.
Mr Omosehin disclosed that 43 insurance companies had successfully recapitalised, describing the development as a major milestone for the industry.
He commended Abiru and members of the committee for their role in advancing insurance sector reforms and urged the House of Representatives to expedite action on the relevant insurance reform bill to enable it to receive presidential assent and become operational.
Representatives of the CBN Governor and the Managing Directors of AMCON, NEXIM and NDIC also commended the Senate committee for its oversight and legislative support, saying its interventions had strengthened the agencies’ capacity to discharge their statutory mandates.
The engagement, held under the theme, Strengthening Financial System Architecture for Sustainable Economic Growth and Stability in Nigeria, also featured presentations by Professor Uche Uwaleke, President of Capital Market Academics of Nigeria (CMAN); Professor Biodun Adedipe, Chief Consultant, B. Adedipe Associates Limited; and Dr Tilewa Adebajo, Chief Executive Officer of CFG Advisory.
The experts presented policy recommendations on key issues affecting Nigeria’s financial system, with emphasis on financial stability, investment and sustainable economic growth.
Mr Abiru said the Senate would continue to engage financial regulators and other stakeholders to deepen financial inclusion, strengthen public confidence in financial institutions and improve regulatory effectiveness.
He said the broader objective was to position Nigeria’s financial system to compete more effectively in the global economy while remaining resilient and responsive to the country’s economic transformation agenda.
By Aduragbemi Omiyale
The first six months of 2026 were not too good for Caverton Offshore Support Group Plc, as it suffered an N8.7 billion loss compared with the N2.1 billion net profit it recorded in the same period of 2025.
This occurred as the company posted a 10.91 per cent decline in earnings between January and June 2026, according to its financial statements for the period ended June 30, 2026.
Analysis of the results showed that the revenue generated in the period under review stood at N14.7 billion versus the N16.5 billion printed in the corresponding period of last year.
Business Post observed that the revenue was negatively impacted by a decline in earnings from helicopter charter and helicopter/airplane contract.
Further analysis of the financial results indicated that operating profit went down by 22.34 per cent to N7.3 billion from N9.4 billion, with administrative expenses jumping to N7.9 billion from N4.7 billion.
But Caverton believes things will get better, noting that the clearest driver of the recovery is Caverton Marine.
Through its relationship with Stena Bulk, one of the world’s leading tanker operators, the organisation now participates in three Suezmax tankers trading a rare source of foreign-currency revenue for a Nigerian-listed company.
It noted that the relationship is being deepened through Unity Shipping Worldwide, a joint venture with the Nigerian National Petroleum Company (NNPC) Limited and Stena Bulk that pairs the state-owned oil firm’s national position and Stena Bulk’s fleet with Caverton’s indigenous operating platform
Closer to home, the firm’s OMIBUS platform, developed with Shanghai-based electric-propulsion OEM Explomar, is bringing battery-electric passenger ferries to Lagos waterways. A prototype is already in service, and Caverton holds a firm order from Lagos State for ten vessels, an early-mover position in clean inland-water transport that the group believes can be replicated across other states as the fleet enters service and ferry operations mature into steady, recurring revenue.
In aviation, the institution said the recovery is anchored on its partnership with NHV, a Belgium-based international helicopter operator, with the restructuring of charter operations targeted for the second half of 2026.
“The first half of the year tested us, but the direction of travel is now visible in the numbers.
“Quarter on quarter, we are working to build up our revenue to narrow losses. Our marine business units, from international tankers to electric ferries, are scaling.
“Meanwhile, our aviation relaunch is on track for the second half, and our cost base is tighter than it has been in years. There is distance still to travel, but Caverton is moving from stabilisation to recovery, and we intend to finish 2026 with that momentum intact,” the chief executive of Caverton, Mr Olabode Makanjuola, stated.
By Adedapo Adesanya
The Nigeria Revenue Service (NRS) and the Joint Revenue Board (JRB) have issued new guidelines clarifying the taxation of virtual assets in Nigeria.
The guidelines provide an administrative framework for the taxation of virtual assets and specify the tax obligations of individuals and businesses operating in the sector.
According to a public notice issued by the two agencies, the framework covers registration, reporting and record-keeping requirements, valuation principles and the tax treatment of virtual asset transactions.
It applies to taxpayers, Virtual Asset Service Providers (VASPs), peer-to-peer (P2P) marketplace operators, tax practitioners and other persons engaged in virtual asset-related activities.
The NRS and JRB said the guidelines were developed in line with the provisions of the Nigeria Tax Act 2025 and the Nigeria Tax Administration Act 2025.
The two bodies said the release was aimed at providing clarity, certainty and consistency in the administration of Nigeria’s tax laws as the country’s virtual asset ecosystem continues to evolve.
The agencies added that the framework would promote voluntary compliance, enhance transparency and support the development of a fair and efficient tax system for digital asset transactions.
They urged all affected taxpayers and stakeholders to familiarise themselves with the guidelines and ensure compliance with the applicable tax obligations.
The guidelines are available on the official websites of the two agencies.
