The National Economic Council has charged its
committee to interface with the Nigerian National Petroleum Corporation with a
view to determining the correct price of premium motor spirit.
The governor of Bauchi State,
Mohammed Abubakar, disclosed this to State House reporters after the NEC
meeting presided over by Vice President Yemi Osinbajo on Thursday.
The governor stated that the
committee would consider the fuel prices in neighbouring countries.
He said: “The issue is, of
course, caused by an interplay of the change rate of the Naira and the Dollar
and the price of crude oil at the international market which affects the
landing cost of refined products in Nigeria and in the process, makes the
operation of the current price regime almost impossible without some measure of
nil return for whoever is in the process.
“As at today, most of not all
independent marketers have stopped importing refined products into Nigeria. It
is only the NNPC that has been doing it. And the NNPC has been suffering a lot
of set backs. The highest amount of under-recovery; by under recovery, it means
the interplay between the landing cost of a liter of the PMS in Nigeria and the
pimp price of that product.
“If the product lands at N170 for
example, and you sell at N145, immediately, you know that you have an
under-recovery of about N25 for each liter of fuel. So, he (NNPC GMD) submitted
his report and the National Economic Council has a committee that has been
interfacing with all revenue generating agencies of the federal government
under the chairmanship of the governor of Gombe State.
“That committee has been charged
with the responsibility of interfacing with NNPC with a view to determining the
correct price for PMS considering the price of the product in especially
countries that are bordering Nigeria. Because that is one of the reasons that encourages
smuggling of the products to these areas.”
During the time subsidy was removed from FUEL, you assured Nigerians that all refineries will be fixed and will be producing to a maximum capacity. Further, there was positive assurance that modular refineries will be build to discourage FUEL importation into the country. Chairman, before you talk about the N170 landing price, tell Nigerians the positive impact you have made by removing the subsidy earlier. Have you fixed the existing refineries, have you build the modular refineries? Thanks.
ReplyDeleteThe NNPC should stop importing refined oil if it is doing so at a loss. It doesn't matter if we don't have fuel to run all the engines in the country,although private and government exporters of crude oil may continue with their business. I think that will be ok with everyone.
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