The Petroleum Products Pricing Regulatory Agency, PPPRA said Federal Government would be collecting N8 per litre as subsidy on petrol imported by NNPC and other marketers.
Outgoing Executive Secretary of the Agency, Farouk Ahmed,announced this while handing over to Moses Mbaba, General Manager Administration, and Human Resources, last week in Abuja.
Ahmed is among the heads of government agencies that were disengaged and asked to hand over to most senior directors in the office.
“The subsidy as at today came down to minus N8 per litre for PMS. What I mean by minus N8 is that government now will collect N8 for every litre imported by NNPC and marketers as against payment to marketers and NNPC,’’ he said.
He said that at the close of work on Feb. 16, the subsidy on petrol was N13.81k, adding that the landing cost was lower than the selling price by N13.81k. According to him, it translates to what is called over recovery.
Ahmed said that an Over Recovery Account had been opened with the Central Bank of Nigeria on Feb. 3 and would be managed by the Office of the Accountant General of the Federation.
He said currently, about N2.6 billion had been lodged into the account with the December importation by NNPC and the marketers.
“
