Fidelity bank banner Bayelsa State banner
NNPC spends $5.8bn on fuel imports in just a few months

By News Express on 21/02/2018

Share on facebook Yahoo mail icon Gmail icon Share on Google+

Views: 517

•NNPC GMD, Dr. Maikanti Baru
•NNPC GMD, Dr. Maikanti Baru

Nigeria’s state oil firm said on Tuesday it had spent $5.8 billion on fuel imports since late 2017, as it combats a fuel shortage that has left people queuing for hours at filling stations and hobbled an already-struggling economy.

“The corporation’s intervention became necessary following the inability of the major and independent marketers to import the product because of the high landing cost which made cost recovery and profitability difficult,” the Nigerian National Petroleum Corporation (NNPC) said in a statement.

The price of gasoline is a highly charged subject in Nigeria, Africa’s largest oil exporter. President Muhammadu Buhari in 2016 raised the top gasoline price to 145 naira ($0.4603) per litre, a 67 percent hike, but did not remove a cap for fear of hurting people on low incomes.

The price cap makes it tough for many importers to profit from gasoline and NNPC has imported as much as 90 percent of the nation’s gasoline needs over the past year. Fuel shortages have gripped much of the country in the last few months.

An economic body that advises Nigeria’s government has been in discussion with the state oil company to determine whether gasoline is appropriately priced in the country, a state governor said last week.

The relatively cheaper cost of Nigerian fuel combined with crude oil price rises in the last few months mean smugglers can make more money selling fuel intended for the Nigerian market across borders, creating shortages in the West African giant.

Nigeria’s refining system means it is almost wholly reliant on imports for the 40 million litres per day of gasoline it consumes.

Efforts by Buhari’s predecessor, Goodluck Jonathan, to end expensive subsidies in 2012 led to riots in the streets because the move would have doubled gasoline prices, angering citizens who see cheap pump prices as the only benefit from living in an oil-rich country. (Reuters)

Source News Express

Posted 21/02/2018 02:43:07 AM

 

Share on facebook Yahoo mail icon Gmail icon Share on Google+


 

CLASSIFIED ADS

REVEALED: 3 natural ways to get stronger erections, last 25 minutes on bed, and increase manhood size without using drugs. Also, Natural Prostrate Enlargement Remedy.. Get In HERE...

 

You may also like...
NIMASA DG lists game changers to make African...

‘Appalling act of evil’: Journalist killed and eaten...

Fayose floors APC at Appeal Court; election upheld...

NDIC trains EFCC, ICPC operatives

Quit notice to Igbos in the North will...

Presidential panel on loot recovery suspends special investigator...

Former aide Chief Ben Obi (Mbuze Agulu) to...

Enugu DISCO, Geometric Power resolve dispute over power...

400 indigenous workers deployed as Bodo cleanup begins...

Hijab Controversy: Islamic Council demands immediate call of...

Igbos have lost 3.5m people and $50bn properties...

Amaechi’s wife didn’t collect money from us: Ex-Rivers...

 

Latest News N138bn NHIS funds trapped in 17 banks We will stop ISIS from using Nigeria as training ground- FG Bayelsa indigenes flee homes over fear of military invasion Anambra Special Anti-Cultism Squad nabs armed robbers FG okays 94 cattle ranches in 10 states Nigeria to host 28 African countries to tackle insecurity Generator fumes kill mother and 5 children; father in coma Amaechi: Western Corridor Rail Line to be completed in 36 months Wealth of the world’s millionaires and billionaires grows to more than $70 trillion for first time ever Floods wreak havoc in Ghana, renders hundreds homeless General Electric booted out from Dow Jones for the first time in 110 years Truck falls off Lagos bridge, crushes buses, car

 

Most Read Nigerian female sex addict opens up, says ‘I like it with both men and women’ (352,056 views) NUDE PHOTO OF OMOTOLA JALADE-EKEINDE surfaces online (351,291 views) Shameless Genevieve Nnaji exposes breasts in public (279,986 views) Finally named: The full list of friends of Nigerian female sex addict who prowled Facebook (229,909 views) Igbo scholar disgraces Femi Fani-Kayode •Demolishes claims on Igbo/Yoruba history with facts and figures (208,945 views) OLUMBA OLUMBA OBU (the one who called himself God) IS DEAD (208,547 views) Breaking News: POPULAR REVEREND CONVERTS TO ISLAM in Kaduna (Nigeria) (181,670 views) OBJ’s son reported dead in Lagos plane crash •Names of more victims emerge (163,744 views) THE FINAL DISGRACE: Igbo scholar unleashes more facts about Igbo/Yoruba history, finishes off Femi Fani-Kayode with second article (153,820 views) My wasted years in Olumba Olumba Obu’s Evil Brotherhood (148,446 views) Lagos plane crash: Journalist releases victims’ names (143,733 views) Gunmen kill ASP, 2 other police officers in vain bid to kidnap Rivers PDP chieftain (135,579 views)

 

Categories Advertorials (3) African Press Organisation (81) Art & Literature (50) Business & Economy (3,255) Business Verdict (44) Columnists (868) Complaints & Requests (94) Enterprise & Opportunities (207) Entertainment (505) Features (607) Global Business Monitor (283) International (2,040) Interview (154) Live Commentary (28) Love Matters (123) News (36,335) Opinion (1,003) Pidgin (10) Politics (5,283) Religion (770) Sports (1,551) Stock Watch (30) AMA & Al Jazeera Global Update

 

CBN banner

Firstmobile banner

 

 

NEWS EXPRESS TV

Portugal v Spain 2018

 

APO Group Partner

 

 

CLASSIFIED ADS

GOCOP Accredited Member

GOCOP Accredited member

 

 

Africa Media Agency and Al Jazeera

Advertisement