NNPC affirms subsidy removal, assures consumers of sufficient fuel supply

*Mele Kyari, Group Chief Executive Officer of NNPC Limited, urges consumers to refrain from panic buying, as there is enough petroleum product to supply the entire country for the next 30 days

Isola Moses | ConsumerConnect

Sequel to President Bola Ahmed Tinubu’s declaration in his inauguration speech Monday, May 29, 2023, that “fuel subsidy is gone”, and subsequent fuel queues cum price hike resurfacing in  Abuja, Lagos, and other cities, the Nigerian National Petroleum Company Limited (NNPCL) has said it welcomes the presidential pronouncement

ConsumerConnect reports President Tinubu in his inaugural address Monday at the Eagle Square, Abuja, FCT, affirmed an end to the era of subsidy payment.

The President noted that the extant 2023 Budget also makes no provision for fuel subsidy, and as such, further payments of the controversial subsidy were no longer justifiable in the Nigerian economy.

No need for panic buying as fuel queues resurface: Kyari

In an immediate response to market reaction to Tinubu’s declaration in regard to noticeable fuel queues in the FCT, Malam Mele Kyari, Group Chief Executive Officer (GCEO) of NNPC Limited, at an emergency press conference at the NNPC Towers, Abuja, informed Nigerians consumers, that the new administration’s move is in the best interest of the national oil company.

Kyari lamented the NNPCL hitherto had spent a substantial amount of its profits on the subsidy of the petroleum product.

The company’s GCEO, however, stated there is no need for consumers’ panic buying in view of noticeable fuel queues, especially in some areas of Abuja City.

According to Kyari, the has enough petroleum product to supply the country for the next 30 days.

The NNPCL is monitoring the supply and distribution of petroleum product networks around the West African country, said he.

As the company affirmed the stance of President Tinubu’s administration on the fuel subsidy regime, the GCEO said the oil firm also welcomed the President’s decision on the removal of fuel subsidy.

Kyari, in a tweet, also assured Nigerians of sufficient petroleum products amid the growing queues across Nigeria.

It is recalled that under former President Muhammadu Buhari, the Federal Government January 2023 had announced to Nigerians, that it would stop the payment of fuel subsidy by the end of June this year.

Mrs. Zainab Ahmed, immediate past Minister for Finance, Budget and National Planning, expressly stated that in the 2023 fiscal period, the Federal Government made provisions of N3.36 trillion for fuel subsidy payment to cover only the first six months of this year.

Ahmed said the development was in line with the 18-month extension earlier announced to Nigerians early last year.