Wednesday, 20 March 2013

Petrol Price Will Increase - Jonathan


President Goodluck Jonathan on Tuesday said the Federal Government would still remove fuel subsidy.
The President said at the Nigeria Summit, which held in Lagos, “We cannot continue to waste resources meant for a greater number of Nigerians to subsidise the affluent middle class, who are the main beneficiaries (of fuel subsidy).
The removal was, however, vehemently rejected by the citizens, who staged weeklong mass demonstrations in major cities of the country, forcing the government to partially remove the subsidy and reduce petrol price from N141 to N97 a litre.
According to the Petroleum Product Pricing Regulatory Agency’s pricing template, the landing cost of a litre of petrol is currently N131.10, with total distribution margins of N15.49, thus bringing the total cost to N146.59.
This means that if the government eventually removes the subsidy, Nigerians will be paying a minimum of N146.59 per litre of petrol at filling stations.



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