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NEC Recommends N302 Per Litre Petrol Price By February

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The federal government may increase the price of Premium Motor Spirit (PMS), better known as petrol, to N302 per litre in February 2022 as part of the recommendation of the National Economic Council (NEC) in November 2021.

According to The Cable, this is part of the government’s plan to fully deregulate the PMS prices, eliminating monthly subsidy payments with provisions to ensure fair competition in the market.

Petrol price is currently between N162 and N165 per litre in Nigeria.

The recommendations were put forward by the NEC ad-hoc committee interfacing with the Nigerian National Petroleum Corporation (NNPC) on the appropriate pricing of PMS in Nigeria. The report was presented by Nasir El-Rufai, governor of Kaduna state and head of the committee.

The committee was established last year by NEC headed by Vice-President Yemi Osinbajo to look into the dwindling revenues of states.

Other members of the committee include Godwin Obaseki, Kayode Fayemi, and David Umahi, governors of Edo, Ekiti and Ebonyi states respectively; as well as Godwin Emefiele, governor of the Central Bank of Nigeria (CBN); and Mele Kyari, group managing director of the Nigerian National Petroleum Corporation (NNPC); Zainab Ahmed, minister of finance, budget and national planning.

In May 2021, the Nigeria Governors’ Forum (NGF) had also recommended N385 per litre — but stakeholders, including the federal government, rejected the recommendation.

The recommendation has since been reconsidered and dropped by the committee.

According to the new report, the committee recommended full deregulation of PMS prices by February 2022 — raising the price by about N130/140 per litre.

It also recommended that all retailers should post PMS prices at all times on a designated website and smartphone app — and they are expected to post price changes no earlier than within 15 minutes of the price change.

With the recommendations, the committee added that the federal government would save N250 billion per month on petrol subsidy removal.

“At current rates, the PMS subsidy is reducing transfers into the federation by about NGN 250 billion per month, and could, if PMS subsidies are not eliminated, result in deductions of NGN 3 trillion in 2022,” the committee’s resolution reads in part.

“The large-scale time-limited (6-months) cash transfer proposed as a way of transferring the subsidy “directly to the people” would cost N600 billion but would by paving the way for the elimination of PMS subsidies, enable the federation to recover N3 trillion in revenues that would otherwise go to PMS subsidies.

“If PMS subsidies are eliminated by February 2022, N250 billion in deductions would have been incurred, but the remaining N195 billion in anticipated PMS subsidy deductions could be redirected towards FGN funding of the cash-transfer programme.”

The NEC committee also recommended a market-based pricing mechanism, as another option, that would ensure petrol price ceilings at least once a month.

BIG STORY

JUST IN: Ebonyi Governor Suspends Health, Housing Commissioners

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The Governor of Ebonyi State, Francis Nwifuru, has suspended the state Commissioner for Health, Dr. Moses Ekuma, and his counterpart in Housing and Urban Development, Francis Ori.

The suspensions occurred on Monday during the State Executive Council meeting in Abakaliki, the state capital.

A statement issued by the Commissioner for Information and State Orientation, Jude Okpor, on Tuesday morning, read, “Following cases of gross misconduct and dereliction of duties by some government officials and matters related thereto, the Chairman of Council directed the indefinite suspension of the Honourable Commissioner for Housing and Urban Development and three months suspension of the Honourable Commissioner for Health respectively.”

Reports suggest that the suspensions may be linked to the alleged theft of government property by officials in the Ministry of Health and the reported underperformance of the Housing and Urban Development commissioner, particularly regarding his poor management of the Amaeze Housing Scheme in the Ishielu Local Government Area.

It is also recalled that the governor visited the health ministry’s premises on Saturday night, where six officials were allegedly caught diverting government materials. He subsequently ordered their arrest and prosecution.

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BREAKING: Finally, Port Harcourt Refinery Begins Production

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After multiple delays, the Port Harcourt refinery has begun fuel production.

The Nigerian National Petroleum Company Limited confirmed this on Tuesday.

NNPCL spokesperson, Olufemi Soneye, stated that truck loading would begin today.

“Port Harcourt Refinery begins production. Truck loading starts today, Tuesday,” Soneye said.

 

More to come…

 

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BIG STORY

Driving Excellence In Hospitality And Tourism: Minister Musawa Meets NIHOTOUR’s New DG [PHOTOS]

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The Honourable Minister of Arts, Culture, Tourism, and Creative Economy, Hannatu Musa Musawa, Esq., welcomed Dr. Abisoye Fagade, the newly appointed Director General of the National Institute for Hospitality and Tourism (NIHOTOUR), to her office in Abuja. This meeting reflected the Ministry’s commitment to strengthening collaboration with its parastatal to advance tourism development and drive growth in the creative economy.

During the visit, Dr. Fagade reaffirmed NIHOTOUR’s dedication to its mandate of building a skilled and globally competitive workforce in the hospitality and tourism sectors. He expressed his readiness to align NIHOTOUR’s programs with the Ministry’s strategic objectives to create opportunities for economic diversification, job creation, and sustainable growth.

The Honourable Minister acknowledged NIHOTOUR’s vital role in enhancing capacity building and professional development across the tourism and creative industries. She emphasized the importance of a unified approach to delivering on President Bola Ahmed Tinubu’s Renewed Hope Agenda, which prioritizes innovation, youth empowerment, and economic transformation.

This engagement signals the beginning of a strengthened partnership aimed at driving the growth, sustainability, and promotion of tourism, hospitality, and the creative economy. By working collaboratively, the Ministry and NIHOTOUR are poised to showcase Nigeria’s unique cultural heritage and position the nation as a leader in tourism and creative innovation.

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