Tinubu Govt Did Not Lie About Fuel Subsidies – Presidency

Tinubu Government Did Not Lie About Fuel Subsidies - Presidency

The Presidency has said the administration of President Bola Tinubu did not lie to Nigerians on issues of fuel subsidies removal.

The Special Adviser to the President on Information and Strategy, Bayo Onanuga, said the statement of financial strains by Nigeria National Petroleum Company Limited (NNPCL), on Sunday, which is responsible for current fuel scarcity did not justify allegations that the government still pays fuel subsidy.

Onanuga said the declaration by the President on 29 May 2023, that “subsidy is gone” has been maintained by the administration.

In a statement on Tuesday, Onanuga said, “I have read a series of articles attacking the Federal Government for not telling the truth about fuel subsidy payments, following NNPC Limited’s admittance it was owing suppliers some $6 billion.

“Some of the stories have been written with relish, as the authors believed they have uncovered some scoops.

“The truth is that there is no discovery. No lie uncovered. The government has been faithful to its policy that it was no longer going to pay fuel subsidies since President Tinubu announced the deregulation of the PMS sector on 29 May 2023. Since then, subsidy provisions have disappeared from the budget. It was not in the Supplementary budget of 2023, not in the 2024 budget and the amended 2024 budget.

“So the giddy headlines about the so-called unraveling of the Tinubu government’s subsidy payment; and return of subsidy were not justifiable.

The Special Adviser to Tinubu explained that NNPC showed its compassion to Nigerians by stating without hiding that continuing to provide fuel at a price lower thaan the landing cost may make the company go insolvent which can affect the running of all three tiers of government in the country.

Onanuga expressed hope that the coming on stream of Dangote Refinery and other local refineries would address the challenges.

Rather what has unraveled was the commendable disposition of the oil company owned by all the tiers of government to absorb the rising costs of petrol at the pump and protect the Nigerian consumer. That generous disposition by NNPC Limited, backed by a compassionate president unwilling to let the people suffer, has been under threat for months, because of the rising cost of crude and the devalued Naira.

“The NNPC cried out recently because it can no longer sustain the price differential on its balance sheet without becoming insolvent. The situation has greater implications for the ability of the three tiers of government to function as the NNPC has failed to pay into the Federation Account, the money that should go to the government.

“There are no easy choices. Something must be done to make NNPC survive, keep the engines of government running and petrol flowing at the pumps. That is the scenario that is unfolding and the game changer and big relief giver may well be the Dangote refinery and other local refineries which will become the fuel suppliers to the local market.

“When Dangote Refinery and other refineries, including government owned Port Harcourt Refinery, come fully on stream, our country and economy will benefit on all fronts. There will be many good paying jobs that will be created along the value-chain. There will also be a drop in the huge demand for foreign exchange to import petroleum products,” Onanuga added.

The post Tinubu Govt Did Not Lie About Fuel Subsidies – Presidency appeared first on Naija News.

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