Politics
Dangote Outlines Urgent Reasons For FG to End Petrol Subsidy
Dangote Outlines Urgent Reasons For FG To End Petrol Subsidy....KINDLY READ THE FULL STORY HERE▶
Aliko Dangote, President and CEO of Dangote Group, has called for the full removal of fuel subsidies by the Federal Government, stating that this would help reveal the actual petrol consumption in Nigeria. He confirmed his ownership of two oil blocks in the upstream sector, with production set to begin next month. Dangote also mentioned that his $20 billion Lagos mega refinery, capable of refining 650,000 barrels of crude oil daily, will alleviate pressure on the naira…….CONTINUE READING
During a 26-minute interview with Bloomberg Television in New York, Dangote emphasized that ending petrol imports will ease currency pressures and reduce the bloated costs associated with subsidies. He stated, “Subsidy is a sensitive issue. Once you subsidize, prices get inflated, and the government ends up paying more than necessary. Now is the right time to get rid of subsidies.”
Dangote explained that his refinery will help monitor Nigeria’s actual fuel consumption by tracking the distribution of products. He believes this transparency will allow the government to save substantial amounts of money. Reflecting on the challenges faced since the project’s 2013 launch, including delays and financial struggles, Dangote expressed pride in achieving this milestone.
He noted that while the removal of fuel subsidies is a government decision, his refinery’s output would stabilize the naira by reducing the need for imported petroleum products, which currently account for about 40% of Nigeria’s foreign exchange demand. Dangote’s refinery began supplying gasoline to the state-owned Nigerian National Petroleum Company (NNPC) on September 15.
Addressing pricing concerns with NNPC, Dangote clarified that the gasoline sold to NNPC from his refinery was cheaper than the imported fuel. He suggested that the government should introduce a basket pricing system or announce the removal of subsidies to bring clarity to the market.
On the subject of crude oil sales, Dangote revealed that agreements are being finalized to price and sell crude domestically in naira. This move, he explained, would ease about 40% of the naira’s pressure on foreign exchange. He also confirmed that the refinery would begin receiving 12 million barrels of crude oil per month from the government in October.
Additionally, the Federal Government plans to provide land for constructing a tanker park near the Dangote refinery to alleviate congestion caused by the over 3,000 fuel tankers currently parking on the newly constructed roads, which are not designed to handle static loads. This was announced following an inspection by the Minister of Works, Dave Umahi.
During the Federal Executive Council (FEC) meeting, several road projects were approved, including contracts for road rehabilitations in Katsina, Kebbi, and Rivers states, as well as the construction of new park facilities for tankers.
Seven Days From Now…” — Oyedepo Speaks On Fate Of Bandits And Their Sponsors
Judgment Shakes Delta: Court Confirms Idjerhe Monarch’s Throne, Rejects Ouster Claims
Tinubu Will Still Win In 2027” — APC Chieftain Yusuf Dismisses Performance Concerns
I Lost Happiness Early On” — Davido Reveals Pain Over Father’s Opposition To His Music Career
2027 Shake-Up: Tinubu Ally Adelabu Under Fire As Party Elders Demand Exit From Governorship Contest
Breaking: Federal Government Of Nigeria Bans Cement Importation, Releases Full List Of Restricted Goods
Abba Kabir Yusuf Declares: ‘I Am APC Leader In Kano, Ganduje Can’t Give Me Orders
Here’s What Happened” — Ex-Army Chief Buratai Speaks On Borno Airstrike Tragedy
Succession Buzz: Olusi Reveals Who May Replace Sanwo-Olu In 2027
