Business
Fuel Crisis and Subsidy Projection
Oil marketers projected on Monday that the monthly subsidy on Premium Motor Spirit (PMS) could reach approximately N700 billion, due to a landing cost of N1,117 per litre. Despite challenges such as crude oil supply issues and regulatory hurdles faced by the Dangote Petroleum Refinery, set to begin production soon, there is optimism as the refinery may start exporting petrol.
Recent meetings between stakeholders including the Minister of State for Petroleum Resources and key industry players focused on resolving concerns between Dangote refinery and regulatory bodies. Meanwhile, the House of Representatives has launched an investigative committee to address issues surrounding domestic refinery operations and allegations of price hikes.
While challenges persist, the Dangote refinery’s impending production promises to contribute positively by potentially exporting petrol, which could alleviate local supply pressures. Efforts to resolve subsidy concerns and streamline operations underscore a commitment to stability and efficiency in Nigeria’s energy sector.