Mkpoikana Udoma
Port Harcourt — The Independent Petroleum Marketers Association of Nigeria has faulted the federal government on the claims that it was paying subsidy on 65 million litres of PMS consumed in the country daily.
This is as the Minister of Finance, Budget and National Planning, Mrs Zainab Ahmed, announced that the government was spending N283 per litre of PMS or N18.397billion per day as subsidy, for 65million litres of fuel consumed in the country daily.
Ahmed while appearing at the House of Representatives’ Ad Hoc Committee to Investigate the Petroleum Products Subsidy Regime from 2013 to 2022, said landing cost of PMS was N448.20k and projecting for the full year, from January to December, subsidy will be N6.715trillion, and 3.375trillion for a half year.
Reacting, the Independent Petroleum Marketers Association of Nigeria, said though the landing cost of PMS was about N450 per litre, but the figure given by the government as the daily quantity consumed by Nigerians, was untrue.
Executive Chairman of IPMAN Rivers State, Dr Joseph Obele, said it was regrettable that no one actually knows the country’s daily fuel consumption, as both NNPC and the defunct DPR always give conflicting figured.
Obele who is also the AAC governorship candidate in Rivers State, explained that it was impossible for the country to consume up to 65million litres per day, describing it outrageous quantity.
He challenged the Minister over what he described as incorrect amount arising from the quantity adopted, saying that the country might be feeding the cabals or subsidizing for the neighboring countries arising from the porous borders.
“There is no doubt that landing cost of PMS is about N450 per liter. There is no doubt that federal government pays about N280 per liter as subsidy since our selling rate as stipulated by federal government is N165 per liter.
“There is no doubt that we are importing all the refined Petroleum products we consume in our country since our refineries are not functional.
“The doubt is the daily quantity consumed by Nigerians.
“NNPC reported that Nigeria daily consumption of Premium Motor Spirit also known as petrol, has risen from 72.07 million litres a day in December 2021 to 74 million litres per day as at the week ended April 3, 2022.
“According to DPR, prior to the administration of President Muhammadu Buhari, Nigeria’s fuel consumption figure had been put at between 30 million and 35 million litres. It later rose to 60 million litres per day, 55 million litres, while until today, no one actually knows the country’s daily fuel consumption.
“The racket is in the daily consumption. Our lifting Analysis by our knowledge is not such outrageous quantity. We might be feeding the cabals or subsidizing for our neighboring countries arising from our porous borders.
“Our position, we challenge the minister that such amount is not correct arising from the quantity adopted.
“Secondly, they should continue paying the subsidy until they fix our four National refineries so that Nigerians shall end subsidy payment regime and importation of refined Petroleum products. By that Nigerians will buy fuel less than N100 per litre.”
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