- Border Closure: Petrol Consumption Drops to 52m Litres Per Day
The Minister of State for Petroleum Resources, Timpre Sylva, said the border closure has helped reduced daily consumption of Premium Motor Spirit (PMS), popularly known as Petrol, due to smuggling.
According to the minister, since the border was closed in August, petrol consumption has dropped from 60 million to 52 million litres per day.
Sylva also said the newly inaugurated team of 89 persons from five key agencies would ensure further transparency and accountability in the distribution of petroleum products across the nation.
“I must say that I am very impressed with the caliber of the team members of ‘Operation White’ and am not surprised because every organization that I know is as strong as its leadership. The NNPC under the leadership of Mallam Mele Kyari epitomizes strong leadership. Am happy with the enthusiasm on the faces of the members and I am sure that we will succeed,” the minister enthused.
The new team would help verify the actual volume of imported products and consumption in Nigeria.
It should be recalled that human rights lawyer, Femi Falana (SAN) had argued the 60 million litres daily consumption in 2018 and requested for full disclosure.
Mr Falana said in original request letter that the former Minister, Emmanuel Ibe Kachikwu, stated, “In December 2017, the management of the NNPC disclosed that the nation’s consumption rate of fuel was 28 million litres per day and that subsidy cost was N726m per day, i.e., N261.4bn per annum. But on March 5, 2018, the Group Managing Director of the NNPC, Dr. Maikanti Baru, claimed that the figure had metamorphosed to 50 million litres per day and that the NNPC had spent $5.8bn (N1.7tn) on fuel importation in January and February 2018.
“Furthermore, at a public forum held in Abuja two weeks ago, you (Kachikwu) stated that the consumption rate of fuel had skyrocketed to 60 million and that the cost of subsidy was N1.4tn! We are not unaware that the increasing consumption rate has been blamed on the smuggling of imported fuel from Nigeria to neighbouring countries by some economic saboteurs.”
The border closure and the new initiative has now helped curb smuggling and subsequently reduce subsidy expenditure.
