NNPC limited welcomes the decision by the Federal government to remove subsidy on Petroleum Motor Spirit, PMS.
Addressing the press, the GCEO of NNPC Limited, Mele Kyari, noted that the removal of the subsidy which has been a burden on NNPC’s cash flow will free up funds to enable optimal operations in the company.
Reacting to scarcity already being experienced, he assured Nigerians of sufficient supply of the product. NNPC is also monitoring all its distribution networks to ensure compliance.
In a related development, the Nigerian Midstream and Downstream Petroleum Regulatory Authority, NMDPRA, addressed concerns regarding the announcement of the removal of subsidy on Premium Motor Spirit, PMS, by President Bola Ahmed Tinubu.
“Contrary to speculations and concerns, the announcement is in line with the Petroleum Industry Act, 2021, which provides for total deregulation of the petroleum downstream sector to drive investment and growth”, said NMDPRA.
“We are working closely with NNPC Limited and other key stakeholders to guarantee a smooth transition, avoid any disruptions in supply as well as ensure that consumers are not short-changed in any form.
The Authority assures that there is ample supply of PMS to meet demand as we have taken necessary steps to ensure distribution channels remain uninterrupted and fuel is readily available at all filling stations across the country”, added the agency.
“We therefore call on Nigerians to remain calm and resist the urge to stockpile as it poses significant safety hazard. The NMDPRA reassures all Nigerians that the removal of subsidy on PMS is a step towards building a more sustainable and prosperous future for our nation. We will continue to monitor activities and implement necessary measures to enhance transparency and accountability in the petroleum downstream sector”, stressed the Agency.