The Group Managing Director of the Nigerian National Petroleum Company (NNPC), Malam Mele Kyari has told Nigerians to brace up for hike in price of Petroleum Motor Spirit (PMS), saying it may sell between N320 and N340 in 2022.
It said this was because the law does not provide for a subsidy, hence its removal in the coming year.
Kyari during his presentation at the World Bank Nigeria Development Update, November 2021 edition titled “Time for Business Unusual” in Abuja on Tuesday said the increment is imminent because the law does not provide for a subsidy, hence its removal in 2022.
According to him, the law provides that by the end of February 2022, the nation should be out of the subsidy regime.
“There will be no provision for it legally in our system, but I am also sure you will appreciate that government has a bigger social responsibility to cater for the ordinary and therefore engage in a process that will ensure that we exit in the most subtle and easy manner,” he said.
He further blamed the hike in prices of cooking gas on demand and supply issues as there was a global crunch on supply of gas and many countries were now threatened by lack of supply in December.
He added that the product was not under any subsidy regime and therefore irrespective of where it was produced, would follow the global trend.
However, he assured that the company was working on increasing local production to meet the needs of consumers.