Mele Kyari
HighlightOil & GasTrending Story

FG not paying petrol subsidy again — NNPCL GCEO, Kyari

“We understand why marketers are unable to import. We hope that they begin to do so very quickly and these are some of the interventions government is making. There is no subsidy.

1.1k

Contrary to insinuations on the social media, the Bola Tinubu administration has not returned to payment of subsidy to any person or group for bringing petroleum products into the country.

The Group Chief Executive Officer of Nigerian National Petroleum Company Limited (NNPCL), Malam Mele Kyari, said the government is no longer paying subsidy on petrol as being speculated.

Kyari told State House correspondents on Monday in Abuja: “No subsidy whatsoever. We are recovering our full cost from the products that we import. We sell to the market.

“We understand why marketers are unable to import. We hope that they begin to do so very quickly and these are some of the interventions government is making. There is no subsidy.”

On low queues being witnessed in some states recently, Kyari attributed it to the deplorable state of the roads which, he said, had forced some transporters to divert petrol to other routes.

“We have seen in very few states pockets of very low queues. This is not unconnected with the road situation and that is why we are seeing some blockades on our roads.

“Moving the products from the southern depots into the northern part of the country takes them much longer time now than it used to be.

“They have to re-route their trucks around many locations for them to be able to reach their destinations and that created delays and some supply gaps. But that has been filled and we do not see any of such problems again.

“Secondly, because of the full deregulation that we have in this sector, marketers are now competing amongst themselves,” Kyari said.

He also said that some of the queues were caused by the preference of customers to patronize filling stations that offered lower and affordable prices.

“You must have noticed that some fuel stations will reduce their prices by N2 or N3. So customers will naturally run to the places where you have that reduction in prices and probably create panic.

“This is because those who don’t know why they are doing it will think that there is something happening or that there is an ominous sign of scarcity,’’ he said.

The NNPCL boss confirmed that about 1.4 billion litres of petrol are available for local consumption both on the seas and on land, saying there is no cause for alarm.

Kyari explained that market forces were now playing out and that marketers were competing for the product and how to satisfy their customers.

‘’There are few issues we’re engaging them to resolve, alongside other agencies of government, particularly critical issues around access to foreign exchange.

“And as you all know, government is doing so much to ensure supply of forex into the market. We know that this FX markets will stabilize the current I&E window is around 770.

“And we know that those inputs from government will crystalise and they will come to an equilibrium position in the FX market and this is the dream of this country,’’ he said.

Leave a comment

Related Articles

Benin Republic President Talon visits Tinubu, wants free movement of people, goods between both countries

We want stronger trade ties with Nigeria …free movement of people and...

COP28: NNPC Ltd seals two deals in Dubai, to comercialise LNG for domestic and International market

In its bid to commercialise and enhance Nigeria’s gas revenue, the Nigerian...

2024 Budget: Gbajabiamila lampoons fake news merchants, says no N10bn for official residence renovation

The Chief of Staff to President Bola Tinubu, Mr Femi Gbajabiamila, has...

COP28: Nigerian among 8 business women who won $800,000 in Dubai

Stephanie Meltus of Green Eden Farms is among the eight young African...

From gym buddies to dinner dates: Ninalowo, Adedamee’s romance takes centre stage

The entertainment industry is currently abuzz with the news of actor Bolanle...

How social media helped Rivers CP, crack team to bust policemen for ransom kidnapping

Following reports of some policemen allegedly involved in ransom kidnapping, Rivers State...

Declan Rice stoppage time header bails Arteta

Declan Rice 97 minutes stoppage time goal boosted Arsenal title push as...

Sports Minister hails Super Falcons’ booking a spot in Morocco 2024

The Minister of Sports, Sen. John Enoh has congratulated the 11-time African...

Tinubu returns to Abuja after COP28 in Dubai

The President, while in Dubai, had witnessed the signing of an accelerated...

Afrobeats is ours but we must attract foreign investment with it or lose out totally – Daréy Art-Alade

Dare Art Alade, popularly known as Darey, has reflected on the soaring...

NNPC joins world partners to reduce Methane emissions – Eyesan, NNPC Ltd’s Executive Vice-President, Upstream

The Nigerian National Petroleum Company Ltd (NNPC Ltd) has expressed its commitment...

Oil theft: 163 incidents recorded,16 suspects arrested in Niger Delta in one week

The Nigerian National Petroleum Company Ltd. (NNPC Ltd) has matched its words...

Army Chief Lagbaja visits Kaduna after military drone killed 85 villagers

The Chief of Army Staff, Lt.-Gen. Taoreed Lagbaja on Tuesday visited Kaduna...

Visa: UK introduces stringent five-point plan to reduce migration

The United Kingdom Home Secretary, Mr James Cleverly, has proposed a five-point...

Tinubu orders full-scale investigation into Kaduna village bombing

President Bola Tinubu has ordered a full- scale investigation into the bombing...

Portable meets Skepta, Tiwa Savage in UK, hints on collaboration

Street sensation, Portable, is basking in the glory of his musical journey...

Nigeria’s delegation to COP28 in Dubai is 422, not 1,411 – Information Minister

The Federal Government has clarified that its delegates to the ongoing Convention...

COP28: Kyari to world energy leaders: A just energy transition for Africa is realistic

The Group Chief Executive Officer of the Nigerian National Petroleum Company Limited...

Lagos port berths world’s largest container, “MV Great Lagos”

Lagos State Gov. Babajide Sanwo-Olu and the Minister of Marine and Blue...

Bombing of Kaduna villagers: Nigerian Army has admitted it’s an error – Kaduna Govt

The Nigerian Army has claimed responsibility for dropping a bomb on Tudun...