Petrol Subsidy Consuming N774M Daily – NNPC

THE Nigerian National Petroleum Corporation (NNPC) has disclosed that the sum of N774million was being consumed daily for the subsidization of petrol in the country.

This information comes few days after the NNPC turned down freedom of information request on how much the government was spending on subsidy.

The request was made by Human Rights Lawyer, Femi Falana.

However, the NNPC said the benefit of the subsidy is being enjoyed by only a few as well as in neighbouring countries on the account of the continued smuggling of the petrol across the borders.

Making a passionate plea to the comptroller general of the Nigerian Customs Service (NCS), Hameed Ali, the Group Managing Director, Maikanti Baru, urged the Custom Boss to help check the proliferation of petrol stations in communities with international land and coastal borders across the country, a statement NNPC said.

Comptroller General of the Nigeria Customs, Col. Hameed I. Ali and Maikanti Baru, NNPC group managing director.

The group said it had energised unprecedented cross-border smuggling of petrol to neighboring countries, making it difficult to sanitise the petrol supply and distribution matrix in the country.

“NNPC is concerned that continued cross-border smuggling of petrol will deny Nigerians the benefit of the Federal Government’s benevolence of keeping a fix retail price of N145 per litre despite the increase in PMS open market price above N171 per litre.

“Based on the heightened petrol consumption rate of 50 million litre per day, the corporation was incurring an under-recovery of N774 million every day,” the statement read.