The Federal Government’s daily spending on petrol subsidy may dropped from the N2.4 billion it recorded in June to N1.07 billion as at Monday this week.

Specifically, the country’s daily subsidy per litre of fuel has decreased from the N51.61per litre it recorded on June 11 to N22.42 per litre.

The Petroleum Products Pricing Regulatory Agency (PPPRA), which made this disclosure on Monday in its pricing template , put the expected open market price of the product at N109.42.

Based on daily petrol consumption of 48 million litres, the total subsidy cost on the product as of September 7, would amount to N1.07 billion at N22.42 per litre.


The landing cost of Premium Motor Spirit (PMS), otherwise known as petrol, has also dropped from N123.12 per litre to N93.93, while the Expected Open Market Price declined fromN138.61 per litre N109.42.

Subsidy refers to the money paid by the government, to keep prices below what they will otherwise be in a free market system.

Nigeria, which relies on importation for most of its fuel needs as the country’s refineries are in a poor state, has seen a drop in importation of refined petroleum products in recent months, leading to acute scarcity of the products across the country.

Nigeria export all its crude oil produced and has not been earning much since the decline in prices.

The global benchmark Brent crude lost almost half of its value since June last year, plunging below $40 per barrel.

September West Texas Intermediate (WTI) crude oil futures fell by 2.23 per cent and were trading at $44.15 per barrel on Monday, in the electronic session in NYMEX.

Prices fell due to oversupply concerns and economic growth concerns across Europe and China.

Chinese crude oil imports fell by 13 per cent in August 2015, compared to August 2014—to 26.59 million tons.

The slowing Chinese demand for crude oil in the oversupplied market will continue to fuel pessimistic sentiments in the crude oil market.

The landing cost of petrol was put at N75.15 per litre on January 23, with a subsidy of N3.64 per litre, almost a week after the Federal Government reduced the pump price of the product by N10 per litre.

Meanwhile, PPPRA confirmed to The Guardian yesterday that it has approve supplementary import allocations for at least 300,000 tonnes of petrol for the remainder of the third quarter.

The allocations, which enable the companies that hold them to import fuel under the country’s subsidy regime, are in addition to the 1.5 million tonnes issued for the third quarter earlier this year to at least 37 importers.

http://www.ngrguardiannews.com/2015/09/nigerias-daily-fuel-subsidy-drops-to-n1-07-billion/

Yea..... Buhari’s ship us sailing

Gradually heading to 1# per 1$
45# per litre


Oboy, that guy weh d sell that fuel sef.... Did he drink some liters of fuel or na folo come body structure be that

and so?
Visit my signature

Unstable economy!

kill Buhari now

Good news I guess...

But how come some petrol stations are selling at 80 naira abi how much?

Nigeria has 170million people and over 40 million un employed graduate. FGN should give un employed graduate 1m each.



From our daily savings











Sango go kiss whoever disagree

Where are the "GEJ did this before he left. President Buhari is just trying to take the praise for GEJ's work" crew?

This is quite impressive, an over 100% drop in cost of subsidy between when we were rescued from GEJ and now.

The target is to fully develop local capacity and stop importation, so PMB and his team should not rest on their oars. Kudos.

In just 3months, and some ppl are still blind to see a good signs of g8t country

So happy I voted for PMB

where do we want to start praising PMB from?

the total annihilation of boko haram?
the miraculous improvemnet in power supply?
the availability of fuel at annoyingly reducing and reducing price?

to think that he has only spent 3 months in power without ministers ehn..what will happen when ministers come on board...PMB is just too fast for us...this development seems too rapid...e go wound person o!!!

So, what is the new price of fuel per liter. I hope this will also mean a decrease in prices of fuel at filling stations.

Nice one PMB

APC dolts won't stop mastubating .

So Buhari body odour also affected fall in international crude oil prices which reduced the landing cost, subsequently leading to a drop in subsidy payment by the FG.

The landing cost of Premium Motor Spirit (PMS), otherwise known as petrol, has also dropped from N123.12 per litre to N93.93, while the Expected Open Market Price declined fromN138.61 per litre N109.42.

Subsidy refers to the money paid by the government, to keep prices below what they will otherwise be in a free market system.

Nigeria, which relies on importation for most of its fuel needs as the country’s refineries are in a poor state, [b]has seen a drop in importation of refined petroleum products in recent months, leading to acute scarcity of the products across the country.

Nigeria export all its crude oil produced and has not been earning much since the decline in prices.

The global benchmark Brent crude lost almost half of its value since June last year, plunging below $40 per barrel.

September West Texas Intermediate (WTI) crude oil futures fell by 2.23 per cent and were trading at $44.15 per barrel on Monday, in the electronic session in NYMEX.

Prices fell due to oversupply concerns and economic growth concerns across Europe and China.[/b]

Mynd44:
Where are the "GEJ did this before he left. President Buhari is just trying to take the praise for GEJ's work" crew?

Buhari is a terrorist - Elrufai

Before the paid APC propagandists arrive to misinform the gullible masses ..... Kindly read the article

The drop is clearly driven by the fall in the price of crude oil and its refined equivalents in the global market.

Adding the drop in demand by China for local consumption which has caused an over supply in the refined product market.... The prices of the products have no where to move but down.

This has nothing to do with Buhari and his body odour/ language as the evil paid propagandists will have the gullible ones believe.

Infact at a minimum, if Buhari had a handle of the economy then there should be further reduction in pump price to 70 naira per litre.

At least GEJ reduced from 97 to 87 during the first drop in crude prices

You would be expect this given the fall in the price of the underlying commodity, crude oil, from which the subsidised fuel is produced.

4Play:
You would be expect this given the fall in the price of the underlying commodity, crude oil, from which the subsidised fuel is produced.

Not exactly, APC as usual will attempt to milk some self service glory from this one Since they have nothing doing in govt

skyface00:
The Federal Government’s daily spending on petrol subsidy may dropped from the N2.4 billion it recorded in June to N1.07 billion as at Monday this week.

Specifically, the country’s daily subsidy per litre of fuel has decreased from the N51.61per litre it recorded on June 11 to N22.42 per litre.

The Petroleum Products Pricing Regulatory Agency (PPPRA), which made this disclosure on Monday in its pricing template , put the expected open market price of the product at N109.42.

Based on daily petrol consumption of 48 million litres, the total subsidy cost on the product as of September 7, would amount to N1.07 billion at N22.42 per litre.


The landing cost of Premium Motor Spirit (PMS), otherwise known as petrol, has also dropped from N123.12 per litre to N93.93, while the Expected Open Market Price declined fromN138.61 per litre N109.42.

Subsidy refers to the money paid by the government, to keep prices below what they will otherwise be in a free market system.

Nigeria, which relies on importation for most of its fuel needs as the country’s refineries are in a poor state, has seen a drop in importation of refined petroleum products in recent months, leading to acute scarcity of the products across the country.

Nigeria export all its crude oil produced and has not been earning much since the decline in prices.

The global benchmark Brent crude lost almost half of its value since June last year, plunging below $40 per barrel.

September West Texas Intermediate (WTI) crude oil futures fell by 2.23 per cent and were trading at $44.15 per barrel on Monday, in the electronic session in NYMEX.

Prices fell due to oversupply concerns and economic growth concerns across Europe and China.

Chinese crude oil imports fell by 13 per cent in August 2015, compared to August 2014—to 26.59 million tons.

The slowing Chinese demand for crude oil in the oversupplied market will continue to fuel pessimistic sentiments in the crude oil market.

The landing cost of petrol was put at N75.15 per litre on January 23, with a subsidy of N3.64 per litre, almost a week after the Federal Government reduced the pump price of the product by N10 per litre.

Meanwhile, PPPRA confirmed to The Guardian yesterday that it has approve supplementary import allocations for at least 300,000 tonnes of petrol for the remainder of the third quarter.

The allocations, which enable the companies that hold them to import fuel under the country’s subsidy regime, are in addition to the 1.5 million tonnes issued for the third quarter earlier this year to at least 37 importers.

http://www.ngrguardiannews.com/2015/09/nigerias-daily-fuel-subsidy-drops-to-n1-07-billion/

let us do some maths,
2.4million ×30×6=#432million( excluding cost of supplies from local refineries
this is at a sustain cost of $40 -$45 per barrel from
Jan to jun 2015
this is on petrol alone!
we still have kerosene,diesel, aviation fuel,bituminous oil. and the remaining!

I wonder what percentage of expected budget earning is spent on payment subsidy.

Did subsidy payments drop or the price of crude resulted in lower payments?

Not impressive. Looking up to the time when the landing cost will remain at N30/litre.

Flets:
Before the paid APC propagandists arrive to misinform the gullible masses ..... Kindly read the article

The drop is clearly driven by the fall in the price of crude oil and its refined equivalents in the global market.

Adding the drop in demand by China for local consumption which has caused an over supply in the refined product market.... The prices of the products have no where to move but down.

This has nothing to do with Buhari and his body odour/ language as the evil paid propagandists will have the gullible ones believe.

Infact at a minimum, if Buhari had a handle of the economy then there should be further reduction in pump price to 70 naira per litre.

At least GEJ reduced from 97 to 87 during the first drop in crude prices

you want him to reduce from 87 to 70,just take a look!
1,stage one
51.61 ÷138.61=0.401(40% of cost) waow GEj budget forecast was taking biggg pounding!

2,stage 2

22,42÷109.42=0.204(20% of cost)
buhari will be dancing shakiti bobo!


the only problem is the crude oil price(PMB is being hit like tsunami)

hahn:
So, what is the new price of fuel per liter. I hope this will also mean a decrease in prices of fuel at filling stations.

Nice one PMB

lai lai!
don't even go there

otr1:
Not impressive. Looking up to the time when the landing cost will remain at N30/litre.

you want to wound buhari shey!

well maybe if Nigeria is pumping its own refined products!

Mynd44:
Where are the "GEJ did this before he left. President Buhari is just trying to take the praise for GEJ's work" crew?

Dem dey MyHero filling station dey buy fuel.
[img]http://2.bp..com/-zrGoBQ8AKUM/TwU5W2hZyHI/AAAAAAAABJY/jCx7ntV3P34/s640/GoodluckJonathanasPetrolAttendant.jpg[/img]

Flets:

At least GEJ reduced from 97 to 87 during the first drop in crude prices

Yeah, GEJ had a GRIP on the economy. Oil prices dropped from 100-50... FUEL prices nationwide remained stabled till he remembered he had an election to win. Dropped prices by #10 and still borrowed to pay salaries. Abeg, make im carry that GRIP put for deziani neck.