The Federal Government on Saturday recommenced the payment of subsidy on petrol as it subsidised the commodity by N5.84 for every litre of premium motor spirit consumed in Nigeria.
Subsidy on petrol was stopped in January after the review of the pricing template of the product by the government.
It also announced that the current official pump prices of petrol would remain at N86 per litre when purchased at filling stations run by the Nigerian National Petroleum Corporation and N86.5 per litre when sold at outlets operated by other oil marketers.
The government further said petrol scarcity would end in a few days, but was silent on the specific day or date.
Figures from the latest pricing templates of the Petroleum Products Pricing Regulatory Agency released on Saturday, showed that the Federal Government was paying N5.84 as subsidy on every litre of petrol sold at non-NNPC filling stations.
The PPPRA is the agency of the Federal Government that regulates the prices of white products — petrol and kerosene, across the country.
According to the agency, the Expected Open Market Price of petrol for non-NNPC stations as at April 2, 2016, was N92.34 per litre, against an official pump price of N86.5 per litre, leaving an under-recovery or subsidy of N5.84 per litre.
Similarly, the template for NNPC-run stations showed that the government was paying N5.80 per litre as subsidy, as the EOMP for outlets in this category was N91.80 per litre as against an official rate of N86 per litre.
The EOMP is the actual cost of petrol without subsidy and comprises of the landing cost of the product as well as its subtotal margins like transporters charge, admin fee, dealers cost, bridging fund, etc.
On the retained pump price of petrol, the Acting Executive Secretary, PPPRA, Mrs. Sotonye Iyoyo, said, “The agency is retaining the retail prices of N86.00 for the NNPC, and N86.50 for the other marketing companies. The pump price of household kerosene also remains unchanged from what it was in the last quarter.
“Therefore, marketers are advised to ensure that there is no price distortion in their respective retail outlets. PPPRA, however, shall continue to monitor the global oil market performances, and come up, at appropriate time, with reasonable changes consistent with the newly-adopted price modulation principles.”
On news making the rounds that the agency was planning to increase the petrol price, Iyoyo urged members of the public to ignore such rumour, as prevailing market indicators do not support such.
She also called on motorists to desist from panic-buying, stressing that “PPPRA was working hard with other sister-organisations to ensure that the current supply and distribution challenges were resolved within the coming days.”
Meanwhile, the agency stated that it had released the second quarter allocations for the supply of petrol, based on the approval of the Minister of State for Petroleum Resources, Dr. Ibe Kachikwu.
It said, “In the latest release, the apex national oil company, the NNPC, has 41.74 per cent of the total allocation, while the rest of the oil marketing companies got a total allocation of 58.27 per cent.” Click to signup for FREE news updates, latest information and hottest gists everyday
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This is the height of cluelessness and incompetence. Apc is the worst political party in the history of Africa. Now I know why a party chieftain attacked the Minister of state got petroleum over policy statement. The same people benefitting from the oil sector a d the system.This is why they wanted former Minister of petroleum Deziani dead of alive. It I'd unfortunate. The handwriting is now clear on the wall for Kachikwu. It is clear that these people are not the saints they claim afterall. No body is fooled by the propaganda of loot recovery again. It is. Of the first time we started hearing g about loot.All we are Interested is while recovering lot let see new development. Nigerians are dying of hunger s d hardship caused by apc and all we hear is loot loot. This has became stale propaganda.
ReplyDeleteI swear to God... this people are confused
Delete"An eight-year-old child heard her parents talking about her little brother. All she knew was that he was very sick and they had no money left. They were moving to a smaller house because they could not afford to stay in the present house after paying the doctor's bills. Only a very costly surgery could save him now and there was no one to loan them the money.
When she heard her daddy say to her tearful mother with whispered desperation, 'Only a miracle can save him now', the little girl went to her bedroom and pulled her piggy bank from its hiding place in the closet. She poured all the change out on the floor and counted it carefully.
Clutching the precious piggy bank tightly, she slipped out the back door and made her way six blocks to the local drugstore. She took a quarter from her bank and placed it on the glass counter.
"And what do you want?" asked the pharmacist.
"It's for my little brother," the girl answered back. "He's really very sick and I want to buy a ...
Continue..
This is d most clueless govt i have ever seen, subsidy is a scam and does not exist abi? we will remove subsidy dat doesn't exist abi? we have removed sudsidy dat doesn't exist abi? now we have returned subsidy dat doesn't exist abi? Only time will tell and separate paul from Barnabas.
ReplyDeleteBros, Apc is a fraud and scam on Nigeria. O to!
DeleteOur politicians are wicked.
ReplyDeleteWhy we all sit here and make comments that will not get to the ears of the present government. We are supposed to be carrying plan card with im- peach on it, this government has nothing to offer so they have to leave is long over due.
DeleteBut I remember apc people and their oga on top telling us that subsidy doesn't exist, so it exists now? Ha! How did we get ourselves into this mess?
ReplyDeleteIt's complicated....
ReplyDeleteGovt full of lies and deceit!! God pass una...
ReplyDeleteHmmmmmmmmmmmmmmmmmmmmmm.
ReplyDeleteAm really shocked that some of the people handling the affairs of this dear nation actually rose in their respective professions making such epileptic decisions.
From the CBN to the education ministry,budgets, petroleum ministry all making decisions that affects us all and going back to reverse them. Please was there no study conducted before bringing up these policies. It's really embarrassing to the entire nation that we can't make policies that will move us forward.
Coming into January2016, subsidy was stopped, if the difference in price between NNPC and independent marketers is around #5.84, why not allow them sell at that price and allow Nigerians decide from whom they prefer buying from. Independent marketers or NNPC stations. Why go back and tire scare resources in a sector heavily riddled with loop holes and faceless monsters.
This is a big slap to all Nigerians. Please we are wise people.
APC is confused. Where is that ape called Tinubu?
ReplyDeleteTime will come when all those that ignorantly abused Madam Okonji Iweala will cry because of the magnitude and level of their ignorance.
ReplyDeleteWhat else does Nigerian want the government to do when Nigerian refused to accept the truth and support them.
ReplyDeleteNigerian call it AUTOCRATIC and HARDSHIP when the government did not listen and refuse to bend his hand.
Now they are calling it CLUELESS AND INCOMPETENCE when the government listen and bend his hand to show some concern.
As long as Nigerian are not ready to endure and support the system to get rid of the evil, selfish people whose interest is to enrich themselves at the expense of destroying Nigeria future.
We give room for them to be back by falling into their strategies and plan.
WE SHOULD BE ASHAMED OF OURSELVES THAT WE DELIVER OURSELVES INTO THEIR SLAVERY.
When there was subsidy, there was scarcity and we buy at N97 per litre.
When there was no subsidy, there was no scarcity scarcity and we buy at N86 per litre. Until march when there was an announcement of organisation change in NNPC. They all went on strike.
The game is now back in the hand to dictate how to be play. They will want FG to pay them for what we did not consumed and still made us to SUFFER for what we did not consumed by refusing to import or distribute.
WHY CAN WE SUFFER NOW TO GET BETTER LIFE RATHER THAN PROLONGING OUR SUFFERING.
Ahhhhhh. But April fools day has passed na. Which one is this one again???
ReplyDeleteNigerians are being Scammed by this govt....its a wake up call to those that supported this government in 2015....its also a lesson to the man that divorced his wife just to marry a 2nd wife over a little misunderstanding....I see PDP winning next election with lots of margin
ReplyDeleteWhere is liar Mohammed?
ReplyDeleteIn saner countries, Kachikwu would have resigned. I know there are his apologists who would quickly say he should not be blamed, but that Buhari should be blamed. My answer to that is this: If you are a true professional, being paid as such, and your "clueless" boss suppresses your professional judgment and forces you to implement ineffective policies, in the interest of your personal reputation, you should resign. So, Kachikwu must take all the blame. Afterall, his pension from ExxonMobil would still be running!
ReplyDeleteNow, to his incompetence: The man, thinking to call the bluff of PMS importers, decided that only NNPC would import PMS into the country. So PPPRA did not allocate imports to any other importer. What Kachikwu failed to realise - and this is where his incompetence comes to play - is that NNPC does not have enough storage for the 100% imports. When it later dawned on him that this would be a problem, he quickly approached the other marketers requesting to hire their storage facilities. Of course they told him off. If anyone wants to know the root of the current fuel crisis, this is it.
The permanent solution to the fuel crisis is to scrap the PPPRA, let whoever wants to import PMS do so and sell at whatever price consumers are willing to pay. That is exactly what happened with AGO (diesel) sincve Yar'adua's time, and today, diesel is available everywhere at varying prices. PPPRA creates a distortion in the market, and it should be disbanded!
Kachikwu is incapable of holding the position he occupies. It is not about his academic credentials - it is about his (in)competence. The man should simply resign and not wait till he is completely rubbished. To be sure, he is embarrassing the ivy league institution whose credential he flaunts around so much!
... But I heard the Minister of state for petroleum saying the other day that it is cheaper to import fuel than refine here in Nigeria. Moreover, with the low cost of crude why the subsidy.This seems fraudulent. With subsidy therefore, a litre of petrol should not be more than 40 naira a litre.
ReplyDeleteHow did you come about N40? In United States where there is no subsidy at all and where they have abundance of working refineries, and have their own crude oil, current average petrol price is between N95 and N105 per litre - at the official exchange rate of $1=N200. Let's do a bit of intellectual work before we throw up numbers anyhow.
DeleteYou have only suceeded in comparing Nigeria with America. It is fraud in the system that takes the other outstanding money. Mind you America has a higher cost of production per litre. Anyway Apc should explain better because confusion and incompetence is now their slogan. All I know is that Nigerians are suffering.
DeleteAmerica or Nigeria, tell us where petrol sells for N40/litre. People are quick to lie about what obtains in other countries without having the facts.
DeleteNigerians are suffering because Nigerians do not want the truth. We fool ourselves into thinking we can regulate a product we don't produce and still make it available. We are ready to go on strike if the government announces removal of subsidy. Meanwhile, with the so-called subsidy, Nigerians are paying N400/litre for petrol. When the government completely deregulated diesel, it became abundantly available, selling for between N120 and N140/litre. Nigerians should demand complete deregulation of petrol, including scrapping of PPPRA. Then petrol will be available everywhere and will sell for about N110/litre.
We are in trouble in Nigeria. So subsidy is not a scam anymore. Party of saints; saint PMB(private mail box), saint Tinubu , saint Osibanjo, saint Oshomole
ReplyDeleteWe are in trouble in Nigeria. So subsidy is not a scam anymore. Party of saints; saint PMB(private mail box), saint Tinubu , saint Osibanjo, saint Oshomole
ReplyDeleteGOD WILL NEVER FAIL TO JUDGE APC LIARS. THEY THINK THAT THEY ARE DECEIVING POOR NIGERIANS WHO ARE LANGUISHING IN POVERTY AND MISERIES. THY TOLD US THAT FORMER ADMINISTRATION HAS ALREADY REMOVED SUBSIDY SINCE 2014, AND THERE WAS FUEL EVERYWHERE DURING THE LAST ADMINISTRATION. FUEL WAS ALSO SOLD AT #85 AS AT THAT TIME. THIS MEANS THAT, THE LAST ADMINISTRATION SOLD FUEL TO NIGERIANS WITHOUT SUBSIDY AT A RATE OF #85, THEN WITH SUBSIDY, THIS PRESENT ADMINISTRATION THAT IS MADE UP SAINTS AND RIGHTEOUS PERSONS SHOULD SALE FUEL BELOW #70 0R #60. I BELIEVE, APC MEMEBERS ARE FULL OF OCULT MEMEBERS. THEY DO NOT FEAR GOD NEITHER MAN. LIE IS THEIR STRENGHT AND THEY WEAR IT AS CLOTHS. THEY HAVE LOST THEIR CONSCIENCES AND DO NOT HAVE THE CAPACITY OR ABILITY TO REMEMBER WHAT THEY TOLD PEOPLE IN THE PAST. LET US WATCH AND SEE. THEIR END MUST BE DISASTROUS.
ReplyDeleteAPC has disappointed Nigerians. They were after taking power form Jonathan, but did not know what to do when they get there. Anyway it is good as the past administration are been exposed with the level of money been embezzled. Where do will go from here. Who are we to thrust now. Am confused ooo.
ReplyDeleteWhat a confusion APC government! I can't understand why these ups and down.
ReplyDeleteWho is the petroleum minister? He should resign now not the minister of states for petroleum
ReplyDeleteWho is the petroleum minister? He should resign now not the minister of states for petroleum
ReplyDeleteNigerians should reason and stop being petty. What we are experiencing now is a fall out of Jonathan's wasteful spending and daylight robbery of the nation's wealth for years and not Buhari's seven month in office. What is required is for us to support this government so we can chart our path back to sanity and purposeful living. So far Nigeria is on course to total liberation from our ugly past to a promising future. Let all hands be on deck to give Buhari the required support.
ReplyDeleteA question for all those asking for support for the Buhari government. How do support a man or government who is always telling lies?
ReplyDeleteFrom most comments I read here, I now see that a lot of Nigerians are educated but either not smart or skilled in their knowledge. With all the handwriting on the wall, I can't believe some of the comments I have read here. Impatience, or supporters of the people that have looted Nigeria treasury, or people who are affected by the good will of what this new government is trying to achieve for all Nigerians is what I noticed to be wrong with Nigeria. My question to people who are already talking bad about this govt. is, do we prefer to have the people we have seen to have looted the country's treasury for their personal use to continue in their act or we prefer them to be exposed and deprived of their act. Think people and be patient!!! God loves Nigeria!
ReplyDeleteID..U.S.A
Bcos. u stopped benefitting from the govt that was stealing the nation's treasury in daylight does not mean you should blackmail a govt that is trying to get the nation back to track.... Be patient if you want to eat the fattest bone!!!
ReplyDeleteThere will always be the oppositions that does not want the good of anything to come out and that is why you are already an opposition of a govt. that is less than a year in existence. Honestly speaking, I do not like how the govt. is operating but with patience, I believe they are heading for something great for the benefit of all Nigerians and not just for the benefit of a few group of people in govt. or in Nigeria.
ReplyDeleteID... U.S.A