Lai Mohammed defends hike in petrol price in Nigeria

The Federal Government said despite the recent increase in the price of Premium Motor Spirit, petrol price to N162 per litre, the price of the commodity in Nigeria remained among the cheapest in Africa.

The Minister of Information and Culture, Lai Mohammed, said this at a press conference in Abuja on Monday.

Mohammed was joined at the briefing by the Minister of Power, Sale Mamman; and the Minister of State for Petroleum Resources, Timipre Sylva.

The minister said, “In spite of the recent increase in the price of fuel to N162 per litre, petrol prices in Nigeria remain the lowest in the West/Central African sub-regions.

“Below is a comparative analysis of petrol prices in the sub-regions (naira equivalent per litre):

  • Nigeria -N162 per litre;
  • Ghana -N332 per litre;
  • Benin -N359 per litre;
  • Togo – N300 per litre;
  • Niger – N346 per litre;
  • Chad -N366 per litre;
  • Cameroon -N449 per litre;
  • Burkina Faso -N433 per litre;
  • Mali -N476 per litre;
  • Liberia – N257 per litre;
  • Sierra Leone -N281 per litre;
  • Guinea -N363 per litre; and
  • Senegal – N549 per litre.

“Outside the sub-region, petrol sells for N211 per litre in Egypt and N168 per litre in Saudi Arabia.

“You can now see that even with the removal of subsidy, fuel price in Nigeria remains among the cheapest in Africa.”

Nigeria Fuel Subsidy Cost

Additionally, the minister said the cost of the fuel subsidy is too high and unsustainable. According to figures provided by the NNPC, the breakdown of the 14-year subsidy is as follows:

  • 2006 – 257bn
  • 2007 – 272bn
  • 2008 – 631bn
  • 2009 – 469bn
  • 2010 – 667bn
  • 2011 – 2.105tn
  • 2012 – 1.355tn
  • 2013 – 1.316tn
  • 2014 – 1.217tn
  • 2015 – 654bn
  • 2016 – Figure Not Available
  • 2017 – 144.3bn
  • 2018 – 730.86bn
  • 2019 – 595bn

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