Senator Heineken Lokpobiri, the minister of state for petroleum (oil), has sought to dispel concerns raised by various individuals and organisations regarding Nigeria’s ongoing petrol subsidies.
These claims of a subsidy reintroduction contradict President Bola Tinubu’s statement during his inauguration on May 29, 2023, where he announced the removal of the fuel subsidy.
Notably, Tinubu’s administration has faced criticism from politicians, economists, oil and gas industry operators, and international officials, who allege that the government continues to secretly subsidise fuel.
In an interview on Channels Television, Lokpobiri clarified that the Nigerian National Petroleum Company Limited (NNPCL) is mandated to intervene whenever necessary.
Lokpobiri explained that President Tinubu’s remarks about the subsidy were misinterpreted, noting that the previous administration did not allocate funds for the subsidy in the 2023 budget.
He said:
According to ThisDay, the minister contended that if the subsidy had not been eliminated, Nigeria might have faced a situation similar to Venezuela’s.
He emphasised that the president’s decision to remove the fuel subsidy is not sufficiently appreciated.
Speaking at a recent economic forum in Saudi Arabia, President Tinubu defended his administration’s decision to discontinue fuel subsidy payments, insisting that it is in the best interest of the people.
During the television program, Lokpobiri mentioned that according to information from NNPCL, the Port Harcourt refinery is expected to become operational by the end of the third quarter of the year.
He also shared that the national oil company reported Nigeria’s daily petrol consumption to be between 50 million and 60 million litres.
Regarding oil production, Lokpobiri noted that Nigeria currently produces an average of 1.5 million barrels per day, attributing this increase to the significant reduction in oil theft.
In related news, TimesNow.com.ng reported that the Nigerian National Petroleum Company Limited has announced an increase in Nigeria’s oil production.
According to Mele Kyari, the NNPCL’s group chief executive officer, Nigeria now produces 1.7 million barrels per day.
This represents a significant increase compared to the 1.28 million barrels per day reported in the previous month.
Source: TimesNow.com.ng
