Wednesday, 21 November 2012

FG Owes NNPC $8.1bn in Subsidy


The Federal Government owes the Nigerian National Petroleum Corporation (NNPC) more than $8.1 billion in subsidy payments. The debt is straining the corporation’s ability to import petrol petrol and has added to its financial burden after private companies stopped importing earlier this year.
The NNPC which used to account for 60 per cent of Nigeria’s imports, now accounts for all of them. Premium motor spirit, also known as petrol has remained largely unavailable to users across the country since early this year, following the refusal of major and independent oil marketers to import fuel due to the delay in the payment of their outstanding subsidies.
Despite producing about 2.4 million barrels of crude oil a day, Nigeria imports most of its petrol because its refineries are unable to meet the nation’s demand.

No comments:

Post a Comment