The Independent Petroleum Marketers Association of Nigeria (IPMAN) has expressed worries over the federal government’s subsidy payments, warning that Nigeria’s fuel subsidy spending could go over ₦700 billion each month.
This was shared by Mohammed Shuaibu, Secretary of IPMAN, Abuja-Suleja, in a statement.
Shuaibu was responding to information from the Major Energy Marketers Association of Nigeria, which showed that the landing cost of petrol as of the previous day was ₦1,117 per litre.
He doubted the accuracy of the Nigerian National Petroleum Company Limited (NNPC) and the government’s fuel subsidy spending reports, warning Nigerians to expect possible fuel price increases.
“Petrol prices are affected by international market demand and supply. When global prices go up, we should expect similar rises in Nigeria,” Shuaibu said.
“The ₦1,117 per litre cost is influenced by both our exchange rate and the global petrol cost. NNPC, as the only importer, is not being open with us.”
Shuaibu stressed that data from major marketers showed the landing cost of petrol was over ₦1,100 per litre, suggesting that the monthly subsidy has gone past ₦700 billion.
“This means we should be ready for price increases at any time,” he added.
Despite these concerns, the Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, has repeatedly insisted that fuel subsidies remain removed in Nigeria.
Further analysis showed that while petrol prices range from ₦617 to ₦750 per litre depending on location, the ex-depot price set by NNPC is ₦585 per litre, creating a difference of ₦532 between the landing cost and the ex-depot price.
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