The Federal Government has suspended moves to remove fuel subsidy scheduled for June 2022 until further notice.
The Minister of State, Petroleum Resources, Timipre Sylva, disclosed the development while addressing State House Correspondents after meeting with President Muhammadu Buhari in Abuja.
Sylva said the executive would propose 18 months extension to the National Assembly to implement the Petroleum Industry Act (PIA) scheduled to kick off in February.
On August 16, 2021, President Buhari signed the Petroleum Industry Bill into law as the PIA is expected to grow investors’ confidence in the petroleum sector, including the creation of more employment opportunities for the populace in the host communities.
The minister noted that the suspension gives all stakeholders time to ensure the PIA is implemented in a mode that guarantees that all necessary modalities are in place to ease the effect of the PMS subsidy removal.
“President Muhammadu Buhari has agreed to an extension of the statutory period for the implementation of the removal of subsidy on petrol (Premium Motor Spirit, PMS) in accordance with extant laws.
“However, following extensive consultations with all key stakeholders within and outside the government, it has been agreed that the implementation period for the removal of the subsidy should be extended.
“This extension will give all the stakeholders time to ensure that the implementation is carried out in a manner that guarantees that all necessary modalities are in place to cushion the effect of the PMS subsidy removal in line with prevailing economic realities.”
He explained that President Buhari had initiated measures to mitigate the likely effects of the subsidy removal on Nigerians.
“The president assures that his administration will continue to put in place all necessary measures to protect the livelihoods of all Nigerians, especially the most vulnerable.”
