Fuel To Be Sold At N97 Per Litre Soon Says FG

The Minister of State for petroleum resources, Timipre Sylva has disclosed the federal government is working on a cheaper fuel alternative for Nigerians.

He said with the alternative, Nigerians may be able to get fuel at the cheap rate of N97 per litre as against the current N145 per litre.

The Minister made the submission while answering questions from journalists in his office in Abuja on Thursday.

According to him, the federal government is working to make the reduction in price possible using the compressed natural gas (CNG) as an option to premium motor spirit (PMS).

Naija News understands CNG is a fuel that can be used in place of gasoline, diesel fuel and liquefied petroleum gas (LPG). It is used in traditional gasoline/internal combustion engine automobiles or specifically manufactured vehicles.

“If we are thinking of reducing pump price for fuel? I could easily say yes and I’m sure all of you wonder why I am saying that,” Sylva said.

“We are thinking of giving the masses an alternative. Today we are all hooked on PMS, what we want to do going forward is to see that we are able to move the masses to CNG gas.

“CNG unit for unit costs less than even the subsidised PMS. Per litre the subsidised rate of PMS is N145/l. CNG will cost N95 to N97/l that is why I could say we want to reduce the cost of fuel, that way when we are given an alternative Nigerians will not notice when the subsidy on PMS is removed.”

Speaking further, the minister expressed hope that the petroleum industry bill (PIB) currently before the National Assembly will be passed before May 2020.

“We are very ambitious about the PIB and we are hoping that it will pass before May this year which is the first anniversary of this administration and second tenure of this government,” he said.

“We are counting on the excellent relationship between the executive and the legislature but I must say that it is a hope and that is why I am mobilising the support of all of you. We are also mobilising the support of the national assembly and everybody else in the industry.

“Let us build a consensus around the PIB because the PIB has taken us back for too long, it has held us down for too long and we need to get it passed quickly. It is taking us a while to tidy up because we want to take every interest on board.”