The Group Chief Executive Officer of the Nigeria National Petroleum Company Limited (NNPCL), Malam Mele Kyari, has disclosed that the amount spent as subsidy on petrol has hit over N400 billion monthly.
Kyari spoke in Abuja on Friday at the headquarters of the oil firm at the ongoing final cut-over from a corporation to NNPC Ltd.
He said the N400bn monthly subsidy has been a serious burden on the cash flow of the NNPCL but promised that the company will continue to meet its obligations of providing Premium Motor Spirit (PMS) for Nigerians.
“The landing cost three days ago was N315 per litre but we are transferring it to our partners at N113 which means that there is N202 subsidy per litre and that is about N400bn every month but there is a budget for this. But it is also a drain on our fund.
“It is a strain on the cashflow of our company when you don’t get refund from the ministry of finance.
“But we will continue to support the country and provide energy security to the country,” Kyari said.
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