…IPMAN hails action
The National Economic Council has suspended the planned removal of subsidy on petroleum products by the end of President Muhammadu Buhari’s administration.
The Minister of Finance, Budget and National Planning, Zainab Ahmed said this while briefing State House correspondents at the end of the NEC meeting presided over by Vice President Yemi Osinbajo at the Presidential Villa, Abuja.
She explained that the removal of the subsidy would likely take effect in June because the Petroleum Industry Act, PIA and the 2023 budget provided subsidy till June, hence any delay might require the amendment of the PIA and the budget provision.
She, however, said that there was no deadline given for the subsidy removal and that the incoming administration would take decision on when possible to do that.
Reacting, the Independent Petroleum Marketers Association of Nigeria (IPMAN) in a statement on Thursday, welcomed the development.
It wrote, “It is good news that the National Economic Council has suspended the removal of fuel subsidy as planned by the current administration for ending of June 2023.”
Dr Joseph Obele, Chairman of the Rivers state chapter, said, “IPMAN sincerely appreciate the National Economic Council for such people oriented Decision as announced by the Minister of Finance.
“The Nigeria inflation current at 22.04% has brought a lot of untold hardship upon the citizens of Nigeria with low and stagnant level of income.
“We have earlier projected that the removal of fuel subsidy when Nigeria refineries are not functional will make fuel sell above #750 per litre and it will further increase the degree of Nigeria inflation by 400%.
“Our concern is the insinuation by Nigerians if Mr President will adopt the advice of the National Economic Council.
“The Nigeria Economic Council as constituted by Executive Order on 29th June 2015 as Economic Advisory Body cannot compel Mr President to adopt any recommendation. Their role remains advisory as such.
“Nigerians have lamented circumstances in which it was difficult for the presidency to agree to even court rulings or recommendations.
“The critical issue regarding the suspension of the removal is the fact that the 2023 budget provisions for subsidy didn’t exceed June 2023.
“We join the Federal Economic Council to recommend that fuel subsidy removal subsidy should be suspended until Nigeria refineries are functional, otherwise it will bring hardship to the citizens of Nigeria.
“Fuel price will be minimal when we stop importing fuel from the international market and start refinery here in Nigeria.”