Checkout Magazine gathered yesterday that the Federal Government is still in negotiations with the organised labour as regards the removal of subsidy on petrol.
Officials of the Nigerian National Petroleum Company Limited and the Nigerian Midstream and Downstream Petroleum Regulatory Authority said the removal of subsidies on petrol had been an explosive issue.
According to them, this had made the government engage in negotiations with the organised labour on the matter despite the persistent rise in the amount being spent on subsidy amidst the recent increase in global crude oil prices.
Being the sole importer of petrol into Nigeria for about four years, the NNPC has been shouldering the subsidy burden over the years, although it often describes this as under-recovery.
When asked if the company would be able to sustain the mounting petrol subsidy cost, the spokesperson of NNPC, Garba-Deen Muhammad, said that subsidy was now a policy issue.
His words, “NNPC is an operator in the market. The subsidy is a Federal Government decision and that of the regulator. You should ask the downstream regulator because it is a policy matter.”
Probed further to speak on the issue since the NNPC has been the sole importer of petrol into Nigeria for years, Muhammad replied, “The best person to provide an answer to your question is the regulator.
“The NNPC is a player and operator in the system. Whatever is the policy today, we will comply, that’s all!”
