Nigeria Governors Forum has recommended that the price of Premium Motor Spirit, also known as petrol, should hover around N385 per litre. The price band was made known on Wednesday at a meeting of the NGF.
A committee, set up by the NGF and headed by the Kaduna State Governor, Nasir el-Rufai, recommended the price band.
The committee called for the immediate removal of subsidy from petrol.
El-Rufai explained that the current subsidy regime was unsustainable because smugglers and illegal markets in neighbouring African countries were the beneficiaries.
The committee recommended that the removal of subsidies should be immediate to save the nation’s economy.
The Kaduna State Governor noted that Nigeria, like other Organisation of the Petroleum Exporting Countries members, agreed to a cut production to keep the prices high, but Nigeria could not fully benefit from the regime because of subsidies.
He said: “Between N70 billion and N210 billion is estimated to be spent every month to keep gasoline price at N162 per litre.
“This is below the cost price and the remittance to the Federation Account will shrink to less than N50 billion per month or even zero if threats persist.
“We are already at zero.
“I understand for tomorrow, so this scenario has occurred.
“Why are we keeping the price at N162?