NNPC claims that gasoline would cost N410 with subsidies.

Fuel would cost N410 in the country if subsidies are removed, claims Mele Kyari, the Group Chief Executive Officer of NNPC Limited.

At the Legislative Transparency and Accountability Summit, which the House of Representatives convened in Abuja on Wednesday, November 9, Kyari stated that there is no longer anywhere where you can get a litre of PMS at the current exchange rate of N445 per unit.

You cannot purchase petrol for 170 Naira when your true cost is three times that amount, he remarked. For instance, in order to guarantee N165 at the pump when PMS enters the nation, we transfer to marketers at N113 per litre. As a result, you must sell to them at N113 in order to be able to provide at N165.

“That implies that, regardless of the cost, any amount beyond that value is a subsidy. It must be paid for by someone. Around the globe, everyone is aware of the cost of PMS. At the current exchange rate of N445 there is no place where you can land a litre of PMS at the pumps; it is not conceivable.

“In certain regions, you’re subsidizing each litre by up to N290. It is impossible for you to stop all the bad things from occurring under this government. Anywhere there is arbitrage, there will be concerns with round-tripping, cross-border smuggling, and document fabrication.

In an attempt to combat oil theft in the nation, Kyari also defended the use of private security companies to guard its installations, noting that it had been successful.