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Petrol Will Cost N410 Without Subsidy — NNPC Ltd. GMD, Kyari To Nigerians

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Mele Kyari, the Group Managing Director, Nigerian National Petroleum Company Limited (formerly Nigerian National Petroleum Corporation), has disclosed that NNPC cannot maintain a pump price of N170 per litre for Premium Motor Spirit, popularly called petrol or fuel.

 

He explained that without the existing petrol subsidy, the true importation and retail cost would be N410 per litre as market conditions push the price to triple that of the N170 pump price.

 

Kyari, while speaking at the Legislative Transparency and Accountability Summit organised by the House of Representatives Committee on Anti-Corruption in Abuja on Wednesday, stated that the landing cost of fuel was thrice the amount.

Kyari stated, “It is not possible for you to buy fuel at N170 when your actual cost is thrice that value.

“For instance, today, when PMS comes into this country, we transfer to marketers at N113 per litre for us to ensure N165 at the pump.

“So, you must sell at N113 to them to be able to deliver at N165, that means whatever the cost, anything after that value; that is subsidy. Somebody has to pay for it.

“Everyone knows the price of PMS around the world. There is nowhere today that you can land a litre of PMS to the pumps at the N445 (to a dollar) exchange rate. It is not possible.

“In some places, you are subsidising up to N290 on every litre. With this regime, it is impossible for you to avoid all the wrong things that are happening – round tripping, cross-border smuggling, document forgery.

“Anywhere you have arbitrage, you will have these issues. As long as arbitrage is there, you will continue to have these issues and you cannot hold NNPC accountable for it because it is a value chain that involves everything and everybody.

“You cannot price it at the market today because of the socio-economic impact on the prices of PMS. Every country is doing something about high energy costs. Some have removed taxes on petroleum; this is a subsidy. NNPC Limited will no longer go to FAAC because we are expected to pay taxes, dividend and royalty.”

The GMD also stated that he has been receiving death threats over the reforms he was spearheading in the oil and gas industry.

Kyari further stated that he was not deterred by the threats.

He said, “Without mincing words, I want to say that this industry is at a threshold of change.

“There is massive change going on and it is very expensive and of personal cost to many people, including myself. There is a threat to life; I can say this.

“I have several death threats but we are not bothered about this. We believe that no one dies unless it is his time.

“But this is the cost of change. When people move away from what they are used to, to something that is new; that will take away value and benefit from them, they will react.

“That reaction is of benefit to all of us and we will work together to make sure it works out.”

BIG STORY

Immediate Past Women Affairs Minister Loses Only Son

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Richard, the only son of the former Minister of Women Affairs, Dame Pauline Tallen, passed away on Sunday morning at Cedar Crest Hospital in Abuja, after being hospitalised.

According to a statement released by the family, the exact cause of his death was not immediately known, though it was reported that he had been placed on oxygen in the hospital’s Intensive Care Unit on Friday night.

His alma mater, the Vom Old Boys’ Association, also confirmed his death, stating that he passed away in Abuja after a brief illness.

The group shared on its Facebook page: “On a very sad note, we regret to announce the sudden passing of our member, Mr Richard Adamu Tallen.

“Eternal rest grant unto him oh Lord, may perpetual light shine upon him.

“May the soul of Richard and all departed VOBA members RIP. Amen.”

Richard, a 42-year-old graduate of Computer Science from a university in the United States, is survived by his wife and three children.

The family will announce the burial arrangements.

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NDLEA Arrests 41-Yr-Old Canadian Woman Munju At Lagos Airport For ‘Importing Bags Of Cannabis’

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The operatives of the National Drug Law Enforcement Agency (NDLEA) have apprehended a Canadian national, Adrienne Munju, accused of “importing a large consignment of synthetic cannabis.”

Femi Babafemi, NDLEA spokesperson, confirmed in a statement that the “41-year-old suspect” was arrested on October 3 during the inward clearance of passengers arriving on a KLM flight from Canada at terminal 1 of the Lagos airport.

According to Babafemi, Munju “was caught with 74 parcels of the illicit substance” weighing 35.20 kg, packed in two of her three bags.

In her statement, Munju revealed that she had been “recruited to traffic the consignment through an online platform for 10,000 Canadian dollars” upon successful delivery in Lagos. She reportedly accepted the offer to fund her ongoing master’s degree program in Canada.

Additionally, the agency intercepted “13,298,000 pills of opioids and 338,253 bottles of codeine-based cough syrup” at the Port Harcourt ports, Onne, Rivers.

Babafemi stated that the seized drugs are valued at over “N9 billion in street value” and included substances like Tramadol, Tramaking Quick Action Tramadol, Tamol-X, Royal Tapentadol, and Carisoprodol.

He added that the shipment, originating from India, was seized during a 100 percent joint examination of the containers by the NDLEA.

Furthermore, on October 3, NDLEA operatives at the Tincan seaport in Lagos “intercepted 100 parcels of Canadian Loud weighing 50kg.” The consignment was “packed in 20 parcels, each in five jumbo bags,” hidden within a container carrying four imported vehicles from Canada.

Although the container had initially been cleared from the ESS Libra Bonded Terminal in Ikorodu, “based on credible intelligence,” NDLEA operatives traced the illicit drugs to a warehouse in Ikorodu. The drugs were found inside one of the imported vehicles, a Toyota Sienna bus.

A suspect, Abubakar Shuaibu Ibrahim, was arrested in connection with the seizure.

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Governor Fubara Swears In 23 New Rivers Local Government Chairmen

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Rivers State Governor, Siminalayi Fubara, has sworn in the newly elected council chairmen” of the 23 local government areas.

The exercise took place on Sunday at the Executive Council Chamber of the Government House in Port Harcourt, the state capital, just hours after the chairmen were issued certificates of return by Adolphus Enebeli, the Chairman of the Rivers State Independent Electoral Commission.

Following an election held amid heightened tension on Saturday, the Action Peoples Party secured 22 out of 23 chairmanship positions, while the Action Alliance candidate won one seat.

 

More to come…

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