NNPC Speaks On Clashing With Oil Marketers Over Petrol Subsidy

The Nigerian National Petroleum Company Limited (NNPCL) has refuted a report that it clashed with oil marketers over the payment of subsidy on Premium Motor Spirit (PMS) also known as petrol.

The NNPC made this known in a statement issued on Wednesday in Abuja by its Group Communications Officer, Olufemi Soneye.

The oil company stated this following a media report which claimed that it clashed with oil marketers over fuel subsidy payment.

The report also said oil marketers stated that petrol should now cost ₦1,200 per litre owing to exit from the under-recovery of the fuel cost.

However, according to the NNPC, it has not clashed with any party or any stakeholder, stressing that the media report is false and unfortunate.

The oil firm said the publication sought confirmation on the alleged subsidy reduction, to which it responded that the subsidy has been entirely removed.

The statement reads: “NNPC Ltd emphasises it has not clashed with any party. The Punch headline is deemed unfortunate. The publication sought confirmation on the alleged subsidy reduction, to which NNPC responded that the subsidy has been entirely removed.”

The Punch had claimed that there is a fresh disagreement between the NNPCL and fuel marketers over the recent fuel subsidy removal.

The disagreement comes as the country’s currency continues to weaken against the dollar at both the official Investors & Exporters Window and the parallel market.

Oil marketers told the newspaper on Tuesday that PMS should sell for ₦1,200/litre in a free market and that gasoline subsidies were rising in light of the naira’s decline against the US dollar and the price of crude oil.

The price of petrol, which the NNPCL is the only company authorized to import into Nigeria, ranges between N617 to N660 a litre, depending on where it is bought.