… says daily consumption of petrol stood at 67 million litres, not 60million litres
…Petrol will cost ₦462/Litre without subsidy
The Nigerian National Petroleum Company Limited (NNPCL) on Sunday said the daily consumption of Petrol between January to August 2022 stood at 68 million litres. But it failed to address the issue of extra 38 million litres raised by the Controller General of the Nigeria Customs Service (NCS), Col. Hameed Ali (Rtd)
Col. Hameed Ali (Rtd) had faulted the daily consumption figures of petrol claimed by the Nigerian National Petroleum Company (NNPC) Limited to justify the over N6.34 trillion subsidy payment on the product annually.
The Customs boss had wondered why the NNPC said that the daily consumption figure of petrol is 60 million litres and then allowed 98 million litres to be lifted daily from the depots.
According to a statement by the NNPCL Group General Manager, Group Public Affairs Division Garba Deen Muhammad on Sunday.
“The NNPC Ltd notes the average daily evacuation (Depot truck out) from January to August 2022 stands at 67million litres per day as reported by the Nigerian Midstream and Downstream Petroleum Regulatory Authority, NMDPRA. Daily Evacuation (Depot loadouts) records of the NMDPRA do carry daily oscillation ranging from as low as 4 million litres to as high as 100 million litres per day, ” the statement read.
It added that the “rising crude oil prices and PMS supply costs above PPPRA (now NMDPRA) cap had forced oil marketing companies’ (OMCs) withdrawal from PMS import since the fourth quarter of 2017.
“In the light of these challenges, NNPC has remained the supplier of last resort and continues to transparently report the monthly PMS cost under-recoveries to the relevant authorities.
According to the NNPC, the average Q2, 2022 international market determined landing cost was US$1,283/MT and the approved marketing and distribution cost of A46/litre.
“NNPC Ltd shall continue to ensure compliance with existing governance framework that requires participation of relevant government agencies in all PMS discharge operations, including Nigerian Ports Authority, Nigerian Midstream and Downstream Petroleum Regulatory Authority, Nigerian Navy, Nigeria Customs Service, NIMASA and all others,” the company said.
Furthermore, NNPC Limited admitted that it “recognizes the impact of maritime and cross border smuggling of PMS on the overall supply framework. NNPC also acknowledges the possibilities of other criminal activities in the PMS supply and distribution value chain.
“As a responsible business entity, NNPC will continue to engage and work with relevant agencies of the Government to curtail smuggling of PMS and contain any other criminal activities”.
The NNPC however stated that premium motor spirit (PMS) will cost consumers N462 per litre without the Federal Government’s subsidy.
olusola Bello
