The Minister of State for Petroleum Resources, Timipre Sylvia says the challenges in the oil sector occasioned by falling prices and low earnings were part of the reasons for removal of subsidy on Petrolatum Products
Sylva who spoke to reporters in Abuja on Thursday disclosed that last year oil sold for about $60 per barrel, this year, the country has lost more than 60% of that value saying’ that Nigeria presently lacked the resources to continue with subsidy as it benefits only a few and not in the interest of the common people.
He said” We are not even talking in terms of a $100 dollar oil which was the reality at the time of the previous administration.So at this time where do we have the money to continue to subsidise?
According to him,subsidising a product at the end of the day is not in the interest of the common man “because the people who are taking advantage of the subsidy are not the common people.. The people who are feeding fat from the subsidy are not the common Nigerians “
“So we are democratising the process of pricing PMS instead of government sitting back and some people fixing the prices and some unscrupulous business people taking advantage of the situation.We cannot continue with that as a nation.” he said.
The Minister’s clarification on the issue of subsidy is coming at a time civil organizations are warming up to protest the removal of subsidy and attendant hikes in tarriffs of electricity and petrol.
