Federal Government Set To Return Fuel Subsidy

Nigerians might be subjected to another long
‘stay-at-home’ order by the Nigeria Labour
Congress (NLC) as President Goodluck Jonathan
has proposed to cut fuel subsidies in half in a
bid to reduce spending after a retreat in global
crude prices. Business Day reports.
Senate President, David Mark
According to the Senate President, David Mark, the
government plans to reduce fuel subsidies next
year to N458.6 billion from N971.1 billion , citing a
revised 2015 Medium Term Expenditure Framework
and Fiscal Strategy Paper submitted by President
Jonathan.
READ MORE: Subsidy Payment: N45bn For Oil
Marketers On The Way – Okonjo-Iweala
The government’s last attempt to scrap the subsidy
in January 2012 provoked a week of strikes and
nationwide protests which forced the government to
partially reinstate it. Labour unions opposed the
subsidy’s removal and said the government should
fix its poorly maintained refineries and tackle
corruption before raising cost for Nigerians.
Nigeria has four refineries that have capacity to
refine 445,000 barrels of crude oil per day but they
have been moribund for several years.
READ ALSO: Nigerian Senate Finally Finds
Missing $49bn Oil Fund
The government inability to rehabilitate or privatise
them has put the burden of importing petroleum
products, especially Premium Motor Spirit (PMS) or
petrol, on the government at very high expense. The
total production capacities of the refineries
currently is not more than seven million litres of
pms.
The country consumes an average of 40 million
litres of PMS daily, most of which are supplied by
the Nigerian National Petroleum Corporation
through its subsidiary, the Petroleum Products
Marketing Company (PPMC).
The global collapse in oil prices is biting into
Nigeria’s income, 70 percent of which comes from
crude exports. Finance Minister Ngozi Okonjo-
Iweala plans to cut expenditure by 6 percent next
year and lower the budgeted benchmark oil price to
$73 per barrel, from $77.5 this year.
READ ALSO: Government And NNPC Illegally
Spent $4.5bn On Kerosene Subsidy
Kerosene subsidies will also be cut to N156 billion,
from N250 billion, according to the proposal.
Recently, some experts predicted that the Federal
Government will spend up to N600bn on fuel
subsidy this year and the Government went further
to instruct Private Jets Owners To Pay More Taxes
As Oil Prices Crash

bad news lolz

Bad economy is killing us ooo

na wa o

e dey fo dere body

we beta embrace what it takes

Why are they returning it.

aneke peter chukwujekwu wrote:

Why are they returning it.

Mr jona go ans that

OLOBE wrote:

aneke peter chukwujekwu wrote:

Why are they returning it.

Mr jona go ans that

okay.

dericyk wrote:

Bad economy is killing us ooo

we nigerians did not believe okay

aneke peter chukwujekwu wrote:

dericyk wrote:

Bad economy is killing us ooo

we nigerians did not believe okay

Bad government cause ham

OLOBE wrote:

aneke peter chukwujekwu wrote:

dericyk wrote:

Bad economy is killing us ooo

we nigerians did not believe okay

Bad government cause ham

yea

aneke peter chukwujekwu wrote:

OLOBE wrote:

aneke peter chukwujekwu wrote:

dericyk wrote:

Bad economy is killing us ooo

we nigerians did not believe okay

Bad government cause ham

yea

Tanx 4 knwing dat, jona is d one cause ham

The cause?

smile2012 wrote:

The cause?

Jona

OLOBE wrote:

aneke peter chukwujekwu wrote:

OLOBE wrote:

aneke peter chukwujekwu wrote:

dericyk wrote:

Bad economy is killing us ooo

we nigerians did not believe okay

Bad government cause ham

yea

Tanx 4 knwing dat, jona is d one cause ham

hmmmmm

OLOBE wrote:

smile2012 wrote:

The cause?

Jona

lolz

Una don disrespect ur presido gan

smile2012 wrote:

Una don disrespect ur presido gan

don't mind them.

We dnt need ham again, make he go to his village

But to say d truth He caused it

But to say d truth He caused it