- The National Economic Council has said it will take a decision on petroleum subsidy removal in June when the six-month period for subsidy payment in the 2022 budget elapses.
NEC comprising Vice-President Yemi Osinbajo and state governors among others, stated this at its first meeting for the year at the Presidential Villa, Abuja, on Thursday.
The council stated this as a former Head of State, General Abdulsalami Abubakar (retd.), and the Senior Staff Association of Nigeria Universities strongly warned the Federal Government against removing the subsidy, saying it would worsen poverty in the country.
The warning came amid conflicting reports on whether the Federal Government would fully deregulate the downstream sector by removing fuel subsidy in February or not.
Although the Minister of Finance, Budget and National Planning, Zainab Ahmed, indicated in December last year that the government would remove fuel subsidy in early 2022, Senate President Lawan Ahmed said this week that the President, Muhammadu Buhari, had yet to give any approval regarding that.
However, NEC at its meeting presided over by Osinbajo, affirmed that since the Nigerian National Petroleum Corporation Limited is now a limited liability company, it must be run differently.
The Governor of Nasarawa State, Abdullahi Sule, made the NEC position known to State House correspondents while fielding questions on the outcome of the meeting.
The governor, who was accompanied by his Edo State counterpart, Godwin Obaseki, said it was understandable that provision for subsidy payment was made for only six months in the 2022 budget.
According to him, any decision to remove subsidy will be taken after the budget provision runs its course until June 2022.
Sule noted that even though NEC had been deliberating on the matter, it had yet to take a position on it.