The Nigerian National Petroleum Company Limited, NNPC, has welcomed the pronouncement of President Bola Tinubu on the removal of fuel subsidy on his inaugural address on Monday, 29th May, 2023.
The President Bola Tinubu, declared an end to the era of subsidy payment, stating that the 2023 budget did not provide for it, making further payment unjustifiable.
His government shall instead channel funds into infrastructure and other areas to strengthen the economy,
Responding to this, the NNPC held an emergency press conference at the NNPC Towers in Abuja, stating that the move was in the company’s best interest.
The GCEO of the NNPC, Mele Kyari, explained that the company has been spending a significant portion of its profits on the product subsidy.
However, He assured Nigerians that there was no need for panic buying as the company had enough product to supply the country for the next 30 days.
He further stated that the company was monitoring its supply and distribution networks around the country.
The Federal Government had earlier announced that it would cease fuel subsidy payments by the end of June during the tenure of former President Muhammadu Buhari.
The then Minister of Finance, Budget and National Planning, Mrs Zainab Ahmed, stated that the government had allocated N3.36 trillion for fuel subsidy payments in the first six months of 2023 in the 2023 fiscal period. This was in line with the 18-month extension that was announced earlier in 2022.
Story: Christy Dung