₦airaland Forum

porka:
What is the meaning of this mumbo jumbo?

Does this sound intelligent to you?

Deji7474:
However there is a tweak to it:

Under the subsidy regime of the Jonathan government, oil marketers were paid bogus amounts of monies to cover for their expenses to supply the country fuel and maintain the price at an affordable amount - this led to the enriching of a few and impoverishing of the country, as most of the oil marketers did not even make any deliveries to Nigeria but were paid billions of Naira. Some others took crude oil to Ghana and Benin Republic but where paid as well.

Under the new system which operates under the Buhari’s government, oil marketers do not receive money from government. Instead, NNPC bears the cost of the differential and takes the hit on their own balances by ensuring that the price of petrol remains at N145 regardless of the fact that the landing cost has increased in such a way to make the 145 unprofitable.

In this new arrangement - which is called UNDER-RECOVERY - the Nigerian consumers benefit and not the marketers. If this is not done, the price of fuel would shoot up and the President has said he would never allow that happen.

What the government is doing to put an end to this regime, which is in itself a short term solution - is to fix our refineries including encouraging private sector involvement.

Chief Financial Officer of NNPC, Mr. Isiaka AbdulRazaq, who traced the advent of the subsidy regime to October, 2003 when NNPC was directed by government to commence the purchase of domestic crude oil at international market price without a corresponding liberalization of the regulated price of petroleum products noted that the subsidy regime has changed.

He explained that under the Jonathan subsidy regime, NNPC and other suppliers of refined petroleum products were entitled to file subsidy claims to the Petroleum Products Pricing Regulatory Agency (PPPRA).

Mr. AbdulRasaq, however, noted that unlike oil marketers, under the under-recovery regime NNPC did not receive cash payment for subsidy claims as its claims were deducted out of cost payment to the Federation Account after due certification by PPPRA.

eph12:
If the FG is subsidizing the cost of fuel, who are they paying to?

rainylad:
You spoke my mind,unfortunatey With all the nonsense dude you quoted wrote,some empty skulls agreed with him

blazhykowskyi:
They are paying nobody. They import fuel by themselves and sell to marketers at lower rate. The shortage incurred is the subsidy.

Unlike before when marketers import and file for payment from the FG thereby claiming more than they deserve.

blazhykowskyi:
Because i am a bastard,it has been confirmed I am brain dead.

eph12:
So the FG is the one losing?

rainylad:
I know you are and more.

blazhykowskyi:
Sure.

blazhykowskyi:
I am an illiterate populating nairaland with my fishbrained,halitosis,body odour jaundiced opinions. .i will go to romance section cos my generation are fools!!

eph12:
What's different with the previous administration? They both made loses to make fuel available. One even increased price of fuel so he won't have to make those loses.

rainylad:
I know you are all that..its clear.

blazhykowskyi:
I have been a nuisance long enough,its time to carry my useless nature somewhere else

Bye.

profosa:
Ignorance is a disease.Does NNPC still payout subsidy to marketers? The way my no shoe C in C was doling out money to marketers.

Now the NNPC imports fully and then resale.cost of importing-cost of sale@145.if it is a loss,it is recovered against revenue due fg.if it is a gain,it is added to fgn revenue.how this amount to your alleged trillions i don't know.

blazhykowskyi:
You still don't know the difference?

eph12:
Nope!

Cost of fuel went up and there's the threat of it going up more. How has not paying subsidy to marketers helped the common man on the street? How?

kernel507:
You need a refund of your primary education fees. The citizens were buying the product at N84 and now N145 almost 80% increase without any increase in their salaries/wage, and you've got the gut to defend failure.

Buhari has paid more subsidy than GEJ yet you call the man with lesser payment fraud, you're too blind to be alive.

blazhykowskyi:
This thread is not about how fuel subsidy helps the poor man on the street even though we all know the effect on the poor man on the street. It's about the corruption inherent in the scheme.

BUHARItesticles:
Hahaha , zombies will avoid this thread like EBOLA. Igbodefender, come and shout igbo presidency 2023. God forbid we continue in this bondage beyond 2019.

eph12:
So the FG is the one losing?

buhariguy:
fg is losing and gaining,
As price of crude increase, which is the gain to us, and the price of imported fuel also increase, which is a loss to us.

The solution is we refining by ourselves

profosa:
Ignorance is a disease.Does NNPC still payout subsidy to marketers? The way my no shoe C in C was doling out money to marketers.

Now the NNPC imports fully and then resale.cost of importing-cost of sale@145.if it is a loss,it is recovered against revenue due fg.if it is a gain,it is added to fgn revenue.how this amount to your alleged trillions i dont know.

eph12:
What is the fg doing about this solution? Empowering dangote I guess? Won't it be to our own benefit that we have more than one refineries?

igbodefender:
You are too careless to fight some people. We have forgiven you. Some people may be more careful than you and that can mean a lot.

Buhari 2019; Igbo Presidency 2023.

BUHARItesticles:
Be man enough to respond to your email. You're a coward. Prepare yourself to becoming the next igbo president.

eph12:
Paying subsidy was corruption, shouldn't exist, so they said before election. Now it's no more corruption but one way or the other somebody is still paying for it.

blazhykowskyi:
I have explained enough. Subsidy is being paid to nobody. Nnpc imports fuel and sell at lower prices. It's subsidy in the sense of it but it's not like it was before where they pay to individual marketers who may not import anything or receive more than what they imported. Fuel should be sold at about N300 per litter going by the landing cost.

buhariguy:
buhari is trying.

He is trying to fix this mess the pass leaders could not do since 1980.

That is why you vote for buhari to finish the good works he has started.

By 2020, the refinery and 2nd Niger bridge will be completed

igbodefender:
Kindly resend the mail if you will.