Group Managing Director, GMD, of the Nigerian National Petroleum Corporation, NNPC, Mele Kyari, has said the Federal Government will sustain subsidisation of Premium Motor Spirit (popularly known as petrol) till 2022.


Speaking at a stakeholders’ hearing organised by the Senate Joint
Committees on Finance, National Planning, Foreign and Local Debts,
Banking, Insurance and other financial institutions and Petroleum
Resources on the  2022-2024  Medium Term Expenditure Framework,
MTEF and Fiscal Strategy Paper, FSP, in Abuja, said the decision to exit
the subsidy regime would be determined by the outcome of the ongoing
negotiations between the authorities and organised labour.


Kyari, who acknowledged that an increase in the price of fuel would
have a direct bearing on the wellbeing of the citizenry and national
security, assured Nigerians that government would exit subsidising of
product consumption once the Petroleum Industry Act, PIA,  becomes
fully operational.


The NNPC boss spoke against the backdrop of his admission during a
ministerial briefing at the Presidential Villa recently that his outfit pays
between N100 and 120 billion monthly to keep the pump price of petrol
at N162 per litre.