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BIG STORY

Petrol Landing Cost Hits N232, Subsidy Rises To N5.58bn Daily

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The landing cost of Premium Motor Spirit being imported into Nigeria surged by more than 60 per cent between December 2020 and mid-June this year, although the pump price of the product remained unchanged.

From an average of N143.60 per litre in December, the landing cost of petrol rose to N231.98 per litre on June 16 this year on the back of the rally in global oil prices and the depreciation of the naira against the dollar.

The Petroleum Products Pricing Regulatory Agency had in March this year released a pricing template that indicated the guiding prices for the month.

The template, which showed that the petrol pump price was expected to range from N209.61 to N212.61 per litre, was greeted with widespread public outcry and was later deleted by the agency from its website.

The pump price of petrol has remained at between N162 and N165 per litre at many filling stations in Lagos since December.

The template, which was based on an average oil price of $62.22 per barrel for February and an exchange rate of N403.80 to a dollar, showed that the landing cost of petrol was N189.61 per litre.

Last month, the Central Bank of Nigeria devalued the naira as it adopted the NAFEX exchange rate of N410.25 per dollar as its official exchange rate, days after removing the N379/$ rate from its website.

The price of crude oil, which accounts for a large chunk of the final cost of petrol, has continued to rise in recent months, with Brent, the international oil benchmark, closing at a record high of $76.18 per barrel last Friday, up from $73.88 per litre on June 16.

The Group Managing Director, Nigerian National Petroleum Corporation, Mele Kyari, said on March 25 that with the current market situation, the actual price of petrol could have been anywhere between N211 and N234 per litre.

He said the Federal Government was subsidising petrol with about N100bn to N120bn monthly (N3.3bn-N4bn daily) as it was being sold for N162 per litre.

It was reported on April 20, 2021, that the estimated subsidy on petrol would gulp N500bn in the first five months of this year as the Federal Government decided to leave the pump price of petrol unchanged in the period despite the increase in global oil prices.

Based on the PPPRA template and Platts data, the expected pump price of the product stood at N254.90 per litre as of June 16, up from N239.31 per litre on April 16.

The expected retail price of N254.90 per litre and the current pump price of N162 per litre indicate a subsidy of N92.98 per litre as of June 16, compared to N77.31 per litre on April 16.

With daily petrol consumption put at about 60 million litres by the NNPC and a subsidy of N92.98 per litre, daily subsidy increased to N5.58bn on June 16 from N4.64bn on April 16.

The rising price of crude oil pushed the cost of petrol quoted on Platts to $691.25 per metric tonne (N211.47 per litre) on June 16 from $642.25 (N193.39 per litre) on April 16.

The PPPRA, in its March template, used an average cost of $561.96 per MT (N169.22 per litre) and an average freight rate of $21.63 per MT (N6.62 per litre).

Other cost elements that make up the landing cost include lightering expenses (N4.81), Nigerian Ports Authority charge (N2.49), Nigerian Maritime Administration and Safety Agency charge (N0.23), jetty throughput charge (N1.61), storage charge (N2.58), and financing (N2.17).

The pump price is the sum of the landing cost, wholesaler margin (N4.03), admin charge (N1.23), transporters allowance (N3.89), bridging fund (N7.51), marine transport average (N0.15), and retailer margin (N6.19).

The NNPC, which has been the sole importer of petrol into the country in recent years, is still being relied upon by marketers for the supply of the product despite the deregulation of the downstream petroleum sector.

This month, the International Monetary Fund expressed concern over the resurfacing of fuel subsidies in Nigeria, describing it as ‘concerning, particularly in the context of low revenue mobilisation’.

The Federal Government had in March 2020 removed petrol subsidy after reducing the pump price of the product to N125 per litre from N145 following the sharp drop in crude oil prices.

“The recent introduction and implementation of an automatic fuel price formula will ensure fuel subsidies, which we have eliminated, do not reemerge,” the Nigerian government had told the IMF in the letter of intent dated April 21, 2020, with respect to its request for emergency financial assistance of $3.4bn.

In February this year, the IMF said in a report after its Article IV consultation with Nigeria that the Nigerian authorities expressed a strong commitment to prevent fuel subsidies from resurfacing and to fully eliminate electricity tariff shortfalls by mid-2021.

But petrol subsidy re-emerged earlier this year as the government did not allow the pump price of the product to reflect the significant rise in oil prices.

“The mission expressed its concern with the resurgence of fuel subsidies. It reiterated the importance of introducing market-based fuel pricing mechanism and the need to deploy well-targeted social support to cushion any impact on the poor,” the IMF said on June 17.

BIG STORY

Court Okays Ex-AGF Abubakar Malami’s Further Detention By EFCC

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A Federal Capital Territory High Court in Abuja has upheld the continued detention of a former Attorney-General of the Federation and Minister of Justice, Abubakar Malami (SAN), by the Economic and Financial Crimes Commission.

Justice Babangida Hassan, on Thursday, dismissed a bail summons filed by Malami challenging his detention by the anti-graft agency.

A statement issued by the EFCC spokesperson, Dele Oyewale, said the ruling was delivered on Thursday, December 18, 2025.

According to the statement, Malami, through his counsel, Suliaman Hassan (SAN), had approached the court seeking bail from EFCC custody, contending that his detention in the course of an ongoing investigation was illegal.

However, counsel to the EFCC, J. S. Okutepa (SAN), argued that the former minister was being held pursuant to a valid remand order issued by the FCT High Court and granted by Justice S. C. Oriji.

Oyewale said Justice Hassan, while quoting Section 35 of the 1999 Constitution (as amended), held that the Administration of Criminal Justice Act provides for lawful detention under a court-issued remand order, adding that Malami’s detention was therefore legal.

“Asking this court to grant this application is tantamount to inviting the court to sit as an appellate court over an application made by a court of coordinate jurisdiction, which this court has no power to do,” the judge was quoted as saying.

Malami has been in detention since December 8 after failing to meet the bail conditions set by the EFCC.

It was earlier reported that the former minister is being investigated for 18 alleged offences, including abuse of office and terrorism financing.

The EFCC confirmed searching his houses and offices in Abuja and Kebbi State. However, Malami has accused the anti-graft agency of bias in the handling of his case.

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BIG STORY

Tinubu To Govs: Obey Verdict On Local Government Autonomy, Brace Up For The Implementation Of State Police

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It is time to fully comply with the Supreme Court judgment on financial autonomy for local governments, President Bola Ahmed Tinubu admonished governors last night.

He urged them to brace for the implementation of state police as a panacea to insecurity.

The President spoke during a National Caucus meeting of the All Progressives Congress (APC).

The governors of the APC, along with party leaders, attended the meeting at the Presidential Villa.

The caucus is usually a prelude to the National Executive Committee (NEC) meeting, which will be held today.

The Supreme Court in July last year held that funds for the councils should be paid directly into their coffers rather than into the joint state/local government account, as is currently done.

That verdict has not been obeyed, prompting the President’s call.

He said there can be no genuine autonomy for the councils without direct access to funds.

Emphasizing the importance of the apex court judgment, he said: “Let us look at the recent Supreme Court judgment, what we can do with it and how well we can position our country and our party.”

President Tinubu said the judgment on autonomy must be implemented in both letter and spirit, adding that councils cannot function effectively without financial independence.

He stressed, “To me, the local government autonomy, as it is, must be effective. There is no autonomy without a funded mandate.

“We’ll give them their money directly. That’s the truth. That’ll comply with the Supreme Court order.”

President Tinubu urged the governors to take leadership seriously by ensuring that governance and party coordination extend down to the grassroots.

He said, “You are in a leadership position and must yield and continue to promote, tolerate, and be flexible. Get involved in whatever is happening in your various states, up to the local government level.”

The President also enjoined the governors to support the proposed establishment of state police, describing it as a critical pillar of his administration’s security reform agenda.

He explained that he had assured international partners of Nigeria’s resolve to make state policing work.

He expressed confidence in the ruling party’s capacity to deliver the reform.

President Tinubu said: “I had a very long discussion with the U.S. and Europeans. I was bragging to them that, definitely, we will use the state police to improve security.”

He said when his interlocutors questioned his confidence, he pointed to the APC’s dominance across the country.

The President added: “They asked me if I’m confident, and I said yes. I have a party to depend on. I have a party that will make it happen, and God forbid, we will not fail.”

The President emphasized that reconciliation, accommodation, and cooperation within the party were essential to translating numerical strength into effective governance.

Akpabio commended President Tinubu for what he described as his decisive leadership on national security, particularly the recent rescue of over 100 abducted children, pledging the Senate’s full backing for tougher measures against kidnapping and banditry.

He praised the security agencies for their efforts and expressed sympathy with the families of victims and fallen security personnel.

Akpabio, who offered prayers for the release of the remaining captives, assured affected families of continued support, stressing that their sacrifices would not be forgotten.

The Senate President applauded President Tinubu’s diplomatic intervention in the Benin Republic to safeguard democracy.

He said the Senate had already commended the President’s regional engagement during plenary, noting that Nigeria’s security cannot be guaranteed if its neighbours remain unstable.

Akpabio explained that the Senate had passed a bill classifying kidnapping as terrorism, a move that would attract the death penalty upon presidential assent.

He urged governors to enforce capital punishment where applicable, warning that failure to do so could embolden criminals to endanger society further.

Akpabio welcomed governors who defected to the APC and urged party unity and accommodation across states.

He said the ruling party would deliver bloc votes for President Tinubu in the 2027 elections, expressing confidence that cohesion within the APC would translate into electoral victory nationwide.

APC Chairman Prof Nentawe Yilwatda said the party had recorded a surge in political strength following the high-profile defections and dominance in the National Assembly, declaring that APC now enjoys a “commanding majority” nationwide.

He said the influx of new members from opposition parties reflects the APC’s expanding national appeal.

He cited the defection of Governors Douye Diri (Bayelsa State), Peter Mbah (Enugu), Agbu Kefas (Taraba) and Siminalayi Fubara (Rivers) as evidence of the party’s widening influence across geo-political lines.

The chairman also noted that the party has consolidated its grip on the National Assembly, attributing the dominance to aggressive internal mobilization led by the leadership of both chambers.

Yilwatda said the APC now holds clear majorities in the Senate and the House of Representatives, adding that they have strengthened the party’s legislative leverage and national profile.

On party organization, he unfolded major reforms, including the rollout of an electronic membership registration system to improve transparency and internal democracy.

He said training had been conducted at zonal, state and local government levels, while new members have been assured full rights and privileges ahead of congresses and the national convention.

Yilwatda also highlighted other milestones such as the acquisition of land for a new APC national secretariat in Abuja, strong performances in recent by-elections, progress on constitutional amendments, and preparations for the 2026 FCT local government elections.

He reaffirmed the party’s full backing for President Tinubu’s reforms, expressing confidence that APC remains united and well-positioned for sustained electoral success nationwide.

President Tinubu, who arrived at the State House Conference Centre, venue of the meeting at about 7:38 pm, was accompanied by Vice President Kashim Shettima, Akpabio, House of Representatives Speaker Tajudeen Abbas, Deputy Speaker Benjamin Kalu, Chairman of the Progressive Governors Forum (PGF) and Governor of Imo State, Hope Uzodinma, and Prof. Yilwatda.

The meeting was attended by former Vice President Yemi Osinbajo, members of the National Working Committee (NWC), governors, and principal officers of the National Assembly.

Governors at the meeting included Monday Okpebholo (Edo), Inuwa Yahaya (Gombe), Lucky Aiyedatiwa (Ondo), Usman Ododo (Kogi), Biodun Oyebanji (Ekiti), Francis Nwifuru (Ebonyi), Ahmed Aliyu (Sokoto), Mai Mala Buni (Yobe), Rev. Fr. Hyacinth Alia (Benue), Bassey Otu (Cross River), Umar Namadi (Jigawa), Chairman of the Nigeria Governors’ Forum, AbdulRahman AbdulRazaq (Kwara), Abdullahi Sule (Nasarawa), Dapo Abiodun (Ogun), Uba Sani (Kaduna), and Dikko Radda (Katsina).

Party elders at the parley were former interim national chairman Chief Bisi Akande, former Ogun State Governor Chief Segun Osoba, former Osun State Governor and Minister, Adegboyega Oyetola; former Cross River State Governor Ben Ayade; former Taraba State Governor Jolly Nyame; and former Delta State Governor, Dr Ifeanyi Okowa.

Also in attendance were former Senate Presidents Ken Nnamani, Ahmed Lawan, and Anyim Pius Anyim; former Deputy Senate President, Ovie Omo-Agege; Chairman of the National Drug Law Enforcement Agency (NDLEA), Brig-Gen. Buba Marwa; former governors Isa Yuguda (Bauchi), Yahaya Bello (Kogi), Adams Oshiomhole (Edo), Abubakar Bello (Niger), Ibikunle Amosun (Ogun), Niyi Adebayo (Ekiti), Abdulaziz Yari (Zamfara) and Ahmed Sani Yerima (Zamfara).

National Assembly leaders included Deputy Senate President Jibrin Barau, Senate Leader Opeyemi Bamidele, Senators Gbenga Daniel, Aliyu Wammako, Adamu Aliero, and Simon Lalong, as well as House of Representatives leaders, Prof. Julius Ihonvbere and Idris Wase.

 

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BIG STORY

JUST IN: Tinubu Asks Senate To Confirm New NUPRC, NMDPRA Chief Executives

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President Bola Tinubu has asked the Senate to confirm the nominations of new chief executives for the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) and the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).

The request followed the resignation of Farouk Ahmed as the chief executive of the NMDPRA and Gbenga Komolafe, chief executive of the NUPRC.

Ahmed and Komolafe were appointed in 2021 by the late former Muhammadu Buhari to head the two regulatory agencies created under the Petroleum Industry Act (PIA).

In separate letters to the Senate, Tinubu nominated Oritsemeyiwa Amanorisewo Eyesan as chief executive of the NUPRC and Saidu Aliyu Mohammed as chief executive of the NMDPRA.

President Tinubu has written to the Senate, requesting expedited confirmation of Oritsemeyiwa Amanorisewo Eyesan as CEO of NUPRC and Engineer Saidu Aliyu Mohammed as CEO of NMDPRA.

The two nominees are seasoned professionals in the oil and gas industry.

Eyesan, a graduate of Economics from the University of Benin, spent nearly 33 years with the NNPC and its subsidiaries. She retired as Executive Vice President, Upstream (2023–2024), and previously served as Group General Manager, Corporate Planning and Strategy at NNPC from 2019 to 2023.

Engineer Saidu Aliyu Mohammed, born in 1957 in Gombe, graduated from Ahmadu Bello University in 1981 with a Bachelor’s in Chemical Engineering. He was announced today as an independent non-executive director at Seplat Energy.

His prior roles include Managing Director of Kaduna Refining and Petrochemical Company and Nigerian Gas Company, as well as Chair of the boards of West African Gas Pipeline Company, Nigeria LNG subsidiaries, and NNPC Retail.

He also served as Group Executive Director/Chief Operating Officer, Gas & Power Directorate, where he provided strategic leadership for major gas projects and policy frameworks, including the Gas Masterplan, Gas Network Code, and contributions to the Petroleum Industry Act (PIA).

Engineer Mohammed played a pivotal role in delivering key projects such as the Escravos–Lagos Pipeline Expansion, the Ajaokuta–Kaduna–Kano (AKK) Gas Pipeline, and Nigeria LNG Train.

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