• Advertise
  • Opinion
  • Features & Interviews
  • Investigation
  • Contact
Tuesday, July 5, 2022
  • Login
No Result
View All Result
NEWSLETTER
The Lagos Today
  • Home
  • News
    • Lagos News
    • National News
    • World News
  • Entertainment⚡ by CRAWL
    • All
    • Art & Design
    • Books
    • Movie
    • Music
    • Sports
    Big Brother Naija  Season 7 Premieres July 23 ..   As Winner Gets N100M Prize Money,

    Big Brother Naija Season 7 Premieres July 23 .. As Winner Gets N100M Prize Money,

    THE LUXURY NETWORK NIGERIA ANNOUNCES NEW MEMBER, AFFINITY ART GALLERY

    THE LUXURY NETWORK NIGERIA ANNOUNCES NEW MEMBER, AFFINITY ART GALLERY

    CAF to launch $200 million African Super League in August 2023

    CAF to launch $200 million African Super League in August 2023

    Sanwo-Olu Grants Funke Akindele, Husband, 56 Others State Pardon

    Marriage Collapse: Funke Akindele Allegedly Chased Husband Away Because Of Infidelity

    Funke Akindele’s Marriage Crumbles Again As Hubby Confirms Seperation Rumours

    Funke Akindele’s Marriage Crumbles Again As Hubby Confirms Seperation Rumours

    WizKid, Tems Award Winning ‘Essence’ raking in over $1m in Estimated Streaming Revenues

    WizKid, Tems Award Winning ‘Essence’ raking in over $1m in Estimated Streaming Revenues

    2020 AFRIMA Postponed Till Next Year Over Covid-19

    AFRIMA 2022: Entry Submission Portal Closes on August 5

    Club Shooting: Burna Boy’s Police Escorts Say Bullets Fired Not from Their Guns

    Club Shooting: Burna Boy’s Police Escorts Say Bullets Fired Not from Their Guns

    AFRIMA Meets ECCAS, UNESCO in Gabon, Discusses Plans to Stimulate Africa’s Creative Economy

    AFRIMA Meets ECCAS, UNESCO in Gabon, Discusses Plans to Stimulate Africa’s Creative Economy

    The Musings of Africa’s Proverbial Dad: Chief Pete Edochie

    The Musings of Africa’s Proverbial Dad: Chief Pete Edochie

  • Opinion
  • Business
  • Features & Interviews
  • Best Of Lagos
    THE LUXURY NETWORK NIGERIA ANNOUNCES NEW MEMBER, AFFINITY ART GALLERY

    THE LUXURY NETWORK NIGERIA ANNOUNCES NEW MEMBER, AFFINITY ART GALLERY

    THE LUXURY NETWORK NIGERIA HOSTS MEMBERS’ NETWORKING FORUM

    THE LUXURY NETWORK NIGERIA HOSTS MEMBERS’ NETWORKING FORUM

    Exploring Lagos’ Gastronomy With Chef Priyank Singh of Hard Rock Cafe

    Exploring Lagos’ Gastronomy With Chef Priyank Singh of Hard Rock Cafe

    Olu Oyinsan- Saying Yes To Founders At The Early Stage

    Olu Oyinsan- Saying Yes To Founders At The Early Stage

    A Rare Hobby: Sports Fishing In Lagos

    A Rare Hobby: Sports Fishing In Lagos

    Chef Nkesi- Experiencing Different Cultures Through Food

    Chef Nkesi- Experiencing Different Cultures Through Food

    Wumi Jubril: Creating Memorable Experiences

    Wumi Jubril: Creating Memorable Experiences

    Nordic hotel

    Nordic Hotel Makes Grand Debut in Lagos

    Bookstores in Lagos

    Love Reading? See The Best Bookstores In Lagos

  • Things To Do
  • Home
  • News
    • Lagos News
    • National News
    • World News
  • Entertainment⚡ by CRAWL
    • All
    • Art & Design
    • Books
    • Movie
    • Music
    • Sports
    Big Brother Naija  Season 7 Premieres July 23 ..   As Winner Gets N100M Prize Money,

    Big Brother Naija Season 7 Premieres July 23 .. As Winner Gets N100M Prize Money,

    THE LUXURY NETWORK NIGERIA ANNOUNCES NEW MEMBER, AFFINITY ART GALLERY

    THE LUXURY NETWORK NIGERIA ANNOUNCES NEW MEMBER, AFFINITY ART GALLERY

    CAF to launch $200 million African Super League in August 2023

    CAF to launch $200 million African Super League in August 2023

    Sanwo-Olu Grants Funke Akindele, Husband, 56 Others State Pardon

    Marriage Collapse: Funke Akindele Allegedly Chased Husband Away Because Of Infidelity

    Funke Akindele’s Marriage Crumbles Again As Hubby Confirms Seperation Rumours

    Funke Akindele’s Marriage Crumbles Again As Hubby Confirms Seperation Rumours

    WizKid, Tems Award Winning ‘Essence’ raking in over $1m in Estimated Streaming Revenues

    WizKid, Tems Award Winning ‘Essence’ raking in over $1m in Estimated Streaming Revenues

    2020 AFRIMA Postponed Till Next Year Over Covid-19

    AFRIMA 2022: Entry Submission Portal Closes on August 5

    Club Shooting: Burna Boy’s Police Escorts Say Bullets Fired Not from Their Guns

    Club Shooting: Burna Boy’s Police Escorts Say Bullets Fired Not from Their Guns

    AFRIMA Meets ECCAS, UNESCO in Gabon, Discusses Plans to Stimulate Africa’s Creative Economy

    AFRIMA Meets ECCAS, UNESCO in Gabon, Discusses Plans to Stimulate Africa’s Creative Economy

    The Musings of Africa’s Proverbial Dad: Chief Pete Edochie

    The Musings of Africa’s Proverbial Dad: Chief Pete Edochie

  • Opinion
  • Business
  • Features & Interviews
  • Best Of Lagos
    THE LUXURY NETWORK NIGERIA ANNOUNCES NEW MEMBER, AFFINITY ART GALLERY

    THE LUXURY NETWORK NIGERIA ANNOUNCES NEW MEMBER, AFFINITY ART GALLERY

    THE LUXURY NETWORK NIGERIA HOSTS MEMBERS’ NETWORKING FORUM

    THE LUXURY NETWORK NIGERIA HOSTS MEMBERS’ NETWORKING FORUM

    Exploring Lagos’ Gastronomy With Chef Priyank Singh of Hard Rock Cafe

    Exploring Lagos’ Gastronomy With Chef Priyank Singh of Hard Rock Cafe

    Olu Oyinsan- Saying Yes To Founders At The Early Stage

    Olu Oyinsan- Saying Yes To Founders At The Early Stage

    A Rare Hobby: Sports Fishing In Lagos

    A Rare Hobby: Sports Fishing In Lagos

    Chef Nkesi- Experiencing Different Cultures Through Food

    Chef Nkesi- Experiencing Different Cultures Through Food

    Wumi Jubril: Creating Memorable Experiences

    Wumi Jubril: Creating Memorable Experiences

    Nordic hotel

    Nordic Hotel Makes Grand Debut in Lagos

    Bookstores in Lagos

    Love Reading? See The Best Bookstores In Lagos

  • Things To Do
No Result
View All Result
The Lagos Today
No Result
View All Result
Home Business

Petrol Subsidy Soars To N1.16trn in 11 Months

by Segun Adewunmi
December 23, 2021
in Business
4 min read
0
0
FG Subsidises Petrol by N102bn Monthly
Share on FacebookShare on Twitter

The amount spent on subsidising Premium Motor Spirit, popularly called petrol, rose to N1.16tn between January and November this year, the latest data from the Nigerian National Petroleum Company Limited show.

The data also revealed that NNPC’s remittances to the Federation Accounts Allocation Committee in the 11-month period dropped by N1.78tn.

In its report on funding performance between January and November 2021, which was obtained by our correspondent in Abuja on Wednesday, the oil firm said it had maintained petrol subsidy since the beginning of this year.

In the report, the NNPC referred to its subsidy spending as under-recovery, as it had repeatedly stated that it had no authorisation by the National Assembly to pay subsidy.

The latest funding performance data showed that while nothing was recorded as under-recovery of PMS/value shortfall in January, the oil company spent N25.374bn, N60.396bn and N61.966bn in February, March and April respectively.

In May, June and July, NNPC recorded under-recoveries/value shortfalls of N126.298bn, N164.337bn and N103.286bn respectively.

The oil firm said the under-recovery/value shortfall stood at N173.132bn, N149.283bn, N163.709bn and N131.4bn in August, September, October and November respectively.

The NNPC spends so much on petrol subsidy because for about four years running it has remained the sole importer of PMS into Nigeria. Other marketers stopped importing the commodity due to their inability to adequately access the United States dollar.

On remittances to FAAC, the funding performance report captured the projected monthly remittance as N122.767bn, but this target was never met for all of the 11 months.

It was also observed that the projected remittance by the company to FAAC for the 11 months combined was put at N2.30tn, but what was actually remitted was N522.203bn.

Hence, the national oil firm could not remit N1.78tn to FAAC to be shared among the three tiers of government in the country during the 11-month period.

The monthly remittances showed that in January, February, March and April, the NNPC remitted N90.86bn, N64.161bn, N41.184bn and nothing respectively to FAAC.

The national oil firm remitted N38.608bn, N47.162bn, N67.28bn, N80.03bn, N67.533bn, N14.85bn and N10.536bn to FAAC in May, June, July, August, September and November October respectively.

The debate around petrol subsidy has been intense in recent months, with state governors calling for its stoppage while labour unions kicked against plans to stop it.

The Governor of Kaduna State, Nasir el-Rufai, for instance, recently decried the high cost of fuel subsidy, which according to him, was not reasonable.

He said the Nigerian Governors’ Forum had met and agreed to back the Federal Government’s transport palliative scheme as well as halt the petrol subsidy regime.

El-Rufai had said, “This is why the Nigerian Governors’ Forum met and agreed to support the Federal Government’s social compact. Withdraw this subsidy by February.

“Use the N250bn per month that would have been lost between February and May to do this conditional cash transfer that would put money in the pockets of Nigerians and alleviate not only the cost of transportation but the 2-3 per cent job inflation that is expected when the subsidy is eliminated. We cannot sustain it. We cannot continue with it.

“I don’t want to predict what will happen when 35 out of 36 states cannot pay salaries of civil servants, or even have any money to run the government. We will not have enough money to pay salaries. Already, some states are building up arrears, even oil-producing states are struggling to pay salaries.”

However, operators in the downstream oil sector and as economic experts had said that while it was okay to remove petrol subsidy, the government must be cautious about its withdrawal.

The National Public Relations Officer, Independent Petroleum Marketers Association of Nigeria, Chief Ukadike Chinedu, had said subsidy withdrawal was nice but might increase hardship when implemented.

He said, “The Federal Government is talking about removing subsidy but not talking about the adverse effects of the removal of subsidy. It will affect other commodities, the standard of living among the majority of citizens will be worse.

“And this is because if PMS rises to N365/litre, local transportation will be going for over N1,000 or thereabout and the standard of living and the cost of goods in the market will skyrocket. This will cause heavy inflation. So the NNPC has to look at the adverse effects of this move to remove subsidy.”

A renowned economist and Chief Executive Officer, Centre for the Promotion of Private Enterprise, Dr Muda Yusuf, had also said the government must be tactical in handling the matter.

Follow us on social media
  • Facebook
  • Twitter
  • Instagram

Share this:

  • Twitter
  • Facebook

Like this:

Like Loading...
Tags: petrolPetrol subsidy
Previous Post

FG Launches Digital Token To Replace 11 Digit NIN

Next Post

FG Rakes in N2.56trn From Crude Oil Products

Segun Adewunmi

Segun Adewunmi

Related Posts

Nigerian banks’ total assets swell by N11.15 trillion in one year

Nigerian banks’ total assets swell by N11.15 trillion in one year

by kindness Ike
July 4, 2022
0

The Central Bank of Nigeria (CBN) has stated that the total assets of the banking industry grew by 20.97% from...

LASG Applauds Support for Conversion of State Polytechnics, Colleges to Universities

Lagos records 71% of Nigeria’s $1.5 billion FDI in Q1 2022 – LCCI

by Idonosan Debe
July 3, 2022
0

… As Sanwo-Olu Shares State’s 30-Year Growth Vision With Business Leaders Lagos State will be on another 30-year journey in...

Next Post
FG To Swap 300,000 Crude Oil Barrels For Fuel Daily Till 2021

FG Rakes in N2.56trn From Crude Oil Products

Please login to join discussion

Recommended

‘G7’ World Powers to Pump £276m To Rehabilitate Boko Haram Victims in Nigeria

‘G7’ World Powers to Pump £276m To Rehabilitate Boko Haram Victims in Nigeria

1 year ago
Woman Found Suffering With Children In Lagos Streets Employed By Ebonyi Governor

Woman Found Suffering With Children In Lagos Streets Employed By Ebonyi Governor

2 years ago

Popular News

    Newsletter

    Connect with us

    Tags

    #EndSARS #EndSARS Protests 2023 Elections 2023 polls 2023 Presidency ACCIDENT All progressives Congress APC Babajide Sanwo-Olu Bitcoin CBN Central Bank of NIgeria China Coronavirus pandemic Covid-19 Covid-19 in Lagos Covid-19 in Nigeria Covid-19 Vaccine Covid-19 Worldwide Cryptocurrency Donald Trump Dubai EFCC Federal Government Federal Government of Nigeria Fraud Gov. Sanwo-Olu Insecurity Lagos state Lagos State Government Lagos State House of Assembly Lagos State Police command LASEMA Latest jobs in lagos Lekki Tollgate Shooting Muhammadu Buhari Murder NDLEA Nigeria Rape Russia Strike action UK United states US

    News

    • Business
    • National
    • Politics
    • Tech

    Opinion

    • Editorials
    • Today’s Opinion
    • Letters
    • Sunday Review
    • Advertise
    • Opinion
    • Features & Interviews
    • Investigation
    • Contact

    © 2020 The Lagos Today - Nkali.

    No Result
    View All Result
    • Home
    • News
      • Lagos News
      • National News
      • World News
    • Entertainment
    • Opinion
    • Business
    • Features & Interviews
    • Best Of Lagos
    • Things To Do

    © 2020 The Lagos Today - Nkali.

    Welcome Back!

    Login to your account below

    Forgotten Password?

    Create New Account!

    Fill the forms bellow to register

    All fields are required. Log In

    Retrieve your password

    Please enter your username or email address to reset your password.

    Log In
    %d bloggers like this: