The Federal Government says it has not reintroduced fuel subsidy into the market. Group Chief Executive Officer of the Nigerian National Petroleum Company Limited, Mele Kyari made the statement Monday when he visited the Presidential Villa House in Abuja, the nation’s capital.
According to the Group CEO, “No subsidy whatsoever. We are recovering our full cost from the products that we import. We sell to the market we understand why the marketers are unable to import. We hope that they do is very quick and this are some of the interventions government is doing there is no subsidy. And as you all know, government is doing so much to ensure supply of FX into the market.”
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On fuel scarcity and pockets of queues witnessed across the country including the Federal Capital Territory Abuja in particular, Kyari says it is as a result of pump price differential at the various filling stations. In his words, “We have over 1.4 billion litres of product in our hands both marine and land. Also there are no issues around delivery of those products into the land. So there is no fear, nothing to bother about. But we are also happy that the market forces are now playing out and marketers are competing and of course there are a few issues we’re engaging them to resolve alongside other agencies of government and critical issues around access to foreign exchange.”
“We know that this FX markets will stabilize current I&E Window is around N770. And we know that those inputs that’s already happening, the inputs of government today will crystallise and also they will come to an equilibrium position in the FX market and this is a dream of this country. “
Document by the Federal Account Allocation Committee, FAAC, however shows that in August 2023, the Nigerian Liquefied Natural Gas, NLNG paid $275 million as dividends to Nigeria via NNPC Limited. The NNPC Limited used $220 million (N169.4 billion at N770/$) out of the $275 million to pay for the PMS subsidy.
(Editor: Terverr Tyav)
