Abdulsalami, workers warn FG as NEC decides subsidy removal June

By AdvocateNews on 21/01/2022

Share on facebook Yahoo mail icon Gmail icon

Views: 330

The National Economic Council has said it will take a decision on petroleum subsidy removal in June when the six-month period for subsidy payment in the 2022 budget elapses. 

NEC comprising Vice-President Yemi Osinbajo and state governors among others, stated this at its first meeting for the year at the Presidential Villa, Abuja, on Thursday.

The council stated this as a former Head of State, General Abdulsalami Abukakar (retd.), and the Senior Staff Association of Nigeria Universities strongly warned the Federal Government against removing the subsidy, saying it would worsen poverty in the country.

The warning came amid conflicting reports on whether the Federal Government would fully deregulate the downstream sector by removing fuel subsidy in February or not.

Although the Minister of Finance, Budget and National Planning, Zainab Ahmed, indicated in December last year that the government would remove fuel subsidy by early this year, Senate President Lawan Ahmed said this week that the President, Major General Muhammadu Buhari, had yet to give any approval regarding that.

However, NEC at its meeting presided over by Osinbajo, affirmed that since the Nigerian National Petroleum Corporation Limited is now a limited liability company, it must be run differently.

The Governor of Nasarawa State, Abdullahi Sule, made the NEC position known to State House correspondents while fielding questions on the outcome of the meeting.

The governor, who was accompanied by his Edo State counterpart, Godwin Obaseki, said it was understandable that provision for subsidy payment was made for only six months in the 2022 budget.

According to him, any decision to remove subsidy will be taken after the budget provision runs its course until June 2022.

Sule noted that even though NEC had been deliberating on the matter, it had yet to take a position on it.

The Nasarawa governor said, “I think in addition to that, what you have to understand is that, we (NEC), didn’t make any presentations on this because there has not been a decision. But in reality, all of us Nigerians know that there is now the Petroleum Industry Act. And the NNPC has now become a limited liability company, as you know. So, the NNPC will run differently.

“So, if the Minister of Finance, you know, provides (subsidy) for six months, you can understand part of the reason for the provision for six months, before the NNPC entirely takes off; and at that moment, that is when decisions will be made.

“But I want to correct this impression; it is not the governors who are making recommendations; It is a NEC committee which comprises all the other people that are looking at this. And no decision has been made, and probably by the time a decision will be made, the Petroleum Industry Act would have fully taken charge, and it will not require any recommendation from anybody.”

On his part, Obaseki noted that Premium Motor Spirit, which sells for N162-165 per litre in Nigeria, was sold a 100 per cent higher in other countries.

He said the Federal Government was spending about N2tn on petroleum subsidies, an amount, he said, could have been used for other purposes.

As a result, he said NEC queried why such an arrangement should be allowed to continue.

Meanwhile, the leadership of SSANU on Thursday warned the Federal Government against increment in pump price of petrol.

Speaking in Ile-Ife at the 41st SSANU Regular National Executive Council meeting held at the Obafemi Awolowo University, Ile-Ife, the National President of the association, Haruna Ibrahim, said union leaders would not fold hands, while ordinary Nigerians continue to experience hardship.

Posted 21/01/2022 08:28:45 AM


Share on facebook Yahoo mail icon Gmail icon


You may also like...
Ex-US envoy to Nigeria, Walter Carrington, dies at...

Governor Ifeanyi Ugwuanyi’s Scorecard

Sanwo-Olu warns leaders against turning Nigerian crises to...

Supreme Court dismisses Atiku’s appeal

Ekweremadu: "Police Burglary Claim Hasty, Unacceptable" - Group...

Protesting truck drivers block Benin-Ore road

Supreme Court upholds 10-year sentence on ex-Plateau Gov...

BREAKING: US President, Donald Trump Impeached for the...

Buhari sued over plans to borrow N895bn from...


Two four-year-old kids abducted in Lagos by tricycle...



Latest News Buhari’s exclusion of South-East fueling insecurity -Tambuwal 2023 Presidency: Coalition organises one-million-man march across 36 states, FCT for Peter Obi 1,490 illegal routes enter Nigeria, says NIS FRSC inaugurates 20 Officers of Junior Course 1 for Command, Staff College Gunmen storm Ukpor again, shot man, abduct Pastor's husband Dead body disrupts flights at Lagos airport PDP Primaries: David Mark warns Atiku, Wike, others, says Guidelines won't be compromised Troops sweep IPOB/ESN’s hideout, seize arms, ammunition in Imo N80b Fraud: Accountant-General to remain in detention I did not beat up my constituent —Sen Nnamani IPOB: No plan to suspend Facebook over alleged use to incite violence — FG Sanwo-Olu imposes total ban on Okada in 6 LGs, 9 LCDAs


Most Read Ex-Heads of State will protect Jonathan from persecution —Kukah (359,587 views) FG sends new directive to banks, schools as Buhari extends lockdown by four weeks (359,587 views) Sickle cell support group seeks government intervention (359,586 views) Ebonyi bans embalming of corpses in homes (359,586 views) Full Text of Governor Ifeanyi Ugwuanyi’s 2016 Budget Speech (359,586 views) I’ve no Coronavirus, govt wants to kill me – Anambra Index case (359,586 views) Fleeing ex-DG Imo Broadcasting Corporation who stabbed wife to death arrested (359,586 views) Ugwuanyi commends FG’s siting of ICT University in Enugu (359,585 views) ASUU strike: Senate intervention ends in deadlock (357,539 views) HUSHPUPPI: CRIMINALS HAVE NO TRIBE. THEY SHAME ALL OF US... (352,231 views) All you need to know about Peter Obi, PDP VP Candidate (290,427 views) DEMOCRACY DAY: President Muhammadu Buhari’s full speech (290,360 views)






There are no video entries posted yet.