in , ,

Buhari proposes 18-month extension for implementation of PIA

*Approves indefinite suspension of fuel subsidy removal

President Muhammadu Buhari
Buhari will seek the National Assembly’s approval for an 18-month extension for the implementation of the Petroleum Industry Act (PIA) that was legislated to start this February.

This will require an amendment of the Act by the lawmakers.

The President also okayed the suspension of the contentious removal of petrol subsidy indefinitely, as announced last night.

The Minister of State for Petroleum Resources, Timipre Sylva, announced these in Abuja on Tuesday soon after he and officials of the Nigeria National Petroleum Corporation (NNPC) met with Buhari behind closed doors.

President Buhari had on 16th August 2021 signed the Petroleum Industry Bill into law, and it was meant to come into fill force six months after.

While the suspension of removal of petroleum subsidy lasts, government will continue consultations with labour unions that have stridently opposed the plan, said the Minister.

Government would also continue to get the refineries working and to emplace palliatives for Nigerians to cushion the effect of the eventual removal of subsidies, Sylva stated.

Another measure to be taken before then will be the conversion of about one million vehicles to use autogas and the construction of autogas plants across the country to power the vehicles.

These conditions make it impossible to give an exact time when petrol subsidiary will now be removed, explained the Minister.

He also stressed that the National Assembly could still tinker with the 18-month proposal, so the decision on timing will no longer be the exclusive preserve of the presidency.

On the fuel queues that resurged at petrol filling station in the past day, the Minister blamed it on panic hoarding and panic buying of petrol by station owners and consumers.

Petrol currently sells for between N162 and N165 per litre, at a subsidy regime that reportedly costs government about N3 trillion annually, whereas the compete removal of subsidy is expected to put the pump price of petrol at no less than N300 per litre.

Written by ExpressDay

Leave a Reply

Your email address will not be published.

FG shelves plan to end petrol subsidy in June

Covid-19: 9m Nigerians yet to receive second vaccine dose, says NPHCDA