Oil Minister, Marketers Meet over N3trn Subsidy, Takeoff Shift
….. Our stand on 18-Month Extension in Subsidy Removal – MOMAN
Minister of state for Petroleum Resources, Timipre Sylva, has met with Major Oil Marketers Association of Nigeria (MOMAN) over issues around the planned N3 trillion Subsidy payment as well as the shift in the implementation of the end of fuel subsidy.
Chairman of MOMAN, Olumide Adeosun, who disclosed this at a press conference in Lagos on Monday, maintained that his group is, asides the meering that took place last Wednesday, seeking further engagement with Mr. Sylva and other top government functionaries to understand exactly how this decision
would impact the other provisions in the Petroleum Industry Act as well as market operations.
Fielding questions on position the group is taking over the government’s 18-month extension in subsidy removal, the MOMAN boss said that his group has resolved to continue to engage the government on this critical issue.
“The Major Oil Marketers Association of Nigeria have been approached by members of
the press seeking its reaction with respect to the suspension of subsidy removal.
“The members of the Association are currently seeking to consult with the Ministry of
Petroleum Resources, the Nigerian Midstream and Downstream Petroleum Regulatory Authority and other industry stakeholders to understand exactly how this decision would impact the other provisions in the Petroleum Industry Act as well as market operations.
“Recall, that the reforms contained in the PIA are a combination of several decades of engagement with internal and external stakeholders, capturing local and international
best practices to encourage investments in the petroleum downstream sector, optimize costs, ensure transparency, and upgrade industry assets and infrastructure (refineries,
depots, pipelines, trucks, and filling stations).
“The decision having been taken to suspend subsidy removal, the direction of our consultation necessarily would be towards understanding and contributing towards
what market philosophy and regulations should be in place during the 18-month period to ensure uninterrupted supply, transparency.
“This will be in line with long-term objectives for the administration and growth of the industry.
“Once clarity has been achieved, we shall address a press conference on the issue.”
