The National President of the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), Festus Osifo, has said that the Federal Government is still paying subsidy on petroleum.

POLITICS NIGERIA reports that this comes despite President Bola Tinubu’s declaration in his inauguration speech that the subsidy era was gone.

Osifo, who is also the President of the Trade Union Congress (TUC), said that due to the cost of crude oil in the international market and the dollar-to-naira rate, the government still pays subsidy for the product.

“They [government] are paying subsidy today,” he said on Channels Television’s Politics Today on Friday.

“In reality today, there is subsidy because as of when the earlier price was determined, the price of crude in the international market was somewhere around $80 for a barrel. But today, it has moved to about $93/94 per barrel for Brent crude. So, because it has moved, then the price [of petroleum] also needed to move,” the PENGASSAN boss added.

Osifo said the only way for the government to stop subsidising petroleum is to manage the exchange rate effectively and increase the supply of fuel.

“The only reason the price will not move is when you are able to manage your exchange rate effectively and you are able to pump in supply and bring down the exchange rate,” Osifo maintained.

“So, if the exchange rate comes down today, we will not be paying subsidy. But with the exchange rate value and the price of crude oil in the international market, we have introduced subsidy.”

The fuel subsidy has existed for some time and kept petrol prices artificially low. However, the measure costs the country billions annually, and its governments have promised to end it, including Tinubu. He eventually declared it ended, leading to a sharp increase in the commodity.

The president acknowledged the challenges facing Nigerians in the wake of the subsidy removal but, in July, rolled out measures to cushion the impacts.

To “reduce the burden”, he pledged at least $264 million for agriculture, $165 million for small and medium-sized businesses, and $99 million for manufacturing.

“In the short and immediate terms, we will ensure staple foods are available and affordable,” he said.

https://politicsnigeria.com/just-in-tinubus-government-still-pays-for-petrol-subsidy-pengassan/

If the oil subisdy was really gone, then billions of dollars would of been freed up and channeled into other sectors of the economy (or most likely looted) like education, healthcare, and desperately needed infrastructure but that doesn't seem to be the case. Just one of the many lies the drug lord, warmongering, election rigging Tinubu has told like his forged credentials.

Ironically, Nigeria despite owning largest oil refinery in the world even though its privately owned by Dangote is still exporting oil to be refined and re-imported with us still having to pay high prices for petrol.

Anyway, I told you guys he has no plans for this country, its just going to be another wasted 4 years. He would be lucky to win the Northern vote in 2027 after sanctioning and threatening to invade our little brother Niger multiple times.

Tinubu as a president have no clue as to what governance is, all he is concerned with is just to answer president. Empty skull.

The same subsidy he hurriedly announced that it has come to an end in his inaugural speech is the same stuff he is paying now with the level of suffering it has caused Nigerians.

God punish Inec, APC and all their online and offline supporters.
It will never be well with you guys

So why do the president put millions of Nigerians through pains if at the end you still pay through the back door

RobbStark:
Tinubu as a president have no clue as to what governance is, all he is concerned with is just to answer president. Empty skull.

The same subsidy he hurriedly announced that it has come to an end in his inaugural speech is the same stuff he is paying now with the level of suffering it has caused Nigerians.

God punish Inec, APC and all their online and offline supporters.
It will never be well with you guys

If the LP and PDP team up as well as the North who has turned their backs on Tinubu, by 2027 APC won't even win the needed 25% vote to win the national elections.

What do you expect from someone that claimed he had a First class in Accounting... 😂

I believe this current administration may even be more confused nd corrupt than the previous one. Just watch out.

SyrusdeHansome:
I believe this current administration may even be more confused nd corrupt than the previous one. Just watch out.

for real...