NEC: Nigerians to wait till June for decision on fuel subsidy

The National Economic Council (NEC) has asked Nigerians to wait till June for a decision to be reached on the removal of fuel subsidy.

Governor Abdullahi Sule of Nasarawa state disclosed this while briefing the press at the end of the first NEC meeting for 2022 held in Abuja, the nation’s capital on Thursday.

“We did not make any presentation on this because there has not been a decision. But in reality, all of us, Nigerians, know that there is now the Petroleum Industry Act (PIA) and NNPC has now become a limited liability company,” the governor said after the 122nd NEC meeting.

He continued, “So, NNPC will run differently. So, if the Ministry of Finance provides for six months, you probably can understand part of the reasons for the provision of six months is before NNPC fully takes off and at that moment, that’s when decisions would be made.”

Edo State governor , Godwin Obaseki who also spoke after the meeting, said N2.1 trillion was spent last year on fuel subsidy payments. The payments, the governor noted could have been used to fund other development efforts.

“Because of payment of subsidy, NNPC was unable to put that money into FAAC for distribution, which means less money going to the states and less money going to the federal government,” Obaseki stressed.

The NEC meeting was chaired by Vice President Yemi Osinbajo and attended physically by state governors, government officials as well as officials of the World Bank.

Also on the agenda was the launch of the Nigeria COVID-19 Action Recovery and Economic Stimulus programme (NGCARES).