The Nigerian National Petroleum Company (NNPC) Limited, has said it is in support of the pronouncement of President Bola Tinubu on the removal of fuel subsidy.
The President, in his inaugural address on Monday, had declared an end to the era of subsidy payment, saying the 2023 budget made no provision for fuel subsidy, so further payment was no longer justifiable.
In an emergency press conference at the NNPC Towers, Abuja, NNPCL told Nigerians that the move was in the best interest of the company.
According to the GCEO of NNPCL, Mele Kyari, the company has been spending a substantial amount of its profits in the subsidy of the product.
Kyari said there was no need for panic buying as fuel queues had been noticed in some areas across the country.
He noted that the company had enough product to supply the country for the next 30 days, adding that it was monitoring its supply and distribution networks around the country.
Mele Kyari assured Nigerians of sufficient petroleum products amid the growing queues across the country.
He added that NNPC as a limited liability company cannot continue to bear the burden of subsidy on behalf of the federation if it must deliver dividends to its shareholders and be profitable.
He said, “We welcome the decision of the president to announce the removal of subsidy on PMS and this has been the major challenge for NNPC operations.
“We have been funding subsidy from the cash flow of the NNPC since government is unable to defray the cost of subsidy for the federation. We believe that this will free resources for the NNPC to continue to do the great work that this company is doing for our country and it allows us to continue to function as a commercial entity.”