Connect with us


FG not paying N2.4bn on fuel subsidy, says Marafa



FG not paying N2.4bn on fuel subsidy, says Marafa

Kabiru Marafa

Chairman, Senate Committee on Petroleum Resources (Downstream), Senator Kabiru Marafa, APC-Zamfara Central, Wednesday denied the claim that the federal government is paying up to N2.4billion to subsidise daily consumption of premium motor spirit, PMS by the people of Nigeria.

This is even as he informed that findings by the committee have shown that Nigerians are not consuming more than 30 million litres of fuel per day.

The Senate President, Dr. Bukola Saraki had while featuring on “Kakaaki”, a daily programme on the African Independent Television, AIT yesterday morning, said that President Muhammadu Buhari administration is spending N2.4billion to subsidise 50 million litres of fuel being consumed daily in the country.

Saraki had during the programme, said: “It is shocking and alarming that the current administration in the country claimed that Nigerians are consuming 50million litres of fuel every day and for two years, they did it without appropriation.

“What type of integrity are we talking about when a government claims to have been spending N2.4billion. We have the (Senator Kabiru) Marafa committee set up to look into it, but we have always met a brick-wall.

“For two years, we made several cases to the executive that the subsidy claims must be presented for appropriation because we cannot continue to rely on the arguments by the executive was only spending money on under recovery.

“We have set up a panel to look into it but its activities are being frustrated because we have a government where its executive does not believe that it is accountable to the National Assembly.

“We have done our part to raise it and to do as much as possible to expose what is going on. The way subsidy is being managed now at 50million a day, is fraud. It’s not possible.

FG not paying N2.4bn on fuel subsidy, says Marafa

But speaking with journalists in his office, Senator Marafa countered the views of the Senate President, insisting that findings by his committee revealed that Nigerians are not consuming more than 30 million litres of fuel per day.

He also said it was not possible for the nation to spend up to N2.4bn ever day to subsidise fuel.

“It is not possible to spend N2.4billion on subsidy in Nigeria every day. Even though we don’t have the exact figure but it ranges between 25 to 35 million per day, depending on the circumstances.

“Even if we are selling 30 million litres per day at N145 per litre, it will amount to N4.3billion. If you say that government is subsidizing by N2.4billion, are we saying that government is selling at half of the amount?

“The landing cost of PMS is N180 that means government is subsidizing maximum N40 per litre. If you multiply that with 30 million litres, it cannot be up to N2.4billion.

“I don’t want to join issues with the Senate President. I don’t know the particular committee he mandated to carry out his investigations but if he said so, it must be for the purpose of winning elections.

“From the records at my disposal, Nigeria is not consuming 50 million litres per day. It is not possible. Even if the nation is paying subsidy at all, it is being taken from the running cost of the Nigerian National Petroleum Corporation”, Senator Marafa stressed.

Facebook Comments Box

Copyright 2022 ROYAL NEWS. All rights reserved. Digital material on this website, may not be published, reproduced, broadcast, rewritten or redistributed in whole or in part without prior express written permission from ROYAL NEWS.


Download ROYAL NEWS app

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *