Mallam Mele Kyari, the Group Chief Executive Officer (GCEO) of the Nigerian National Petroleum Company (NNPC) Limited has said that Nigeria will need to spend N4.2 trillion in order to meet fuel subsidy obligations to its citizens in the year 2023.

According to him, fuel is imported into the country at the cost of N295 per litre but sold to marketers at a subsidized price of N113 per litre. This, he said, was in order to make it possible for the commodity to be sold at the approved price of N195 per litre, leaving the balance of N182 for the Federal Government to pay.

Speaking further on the subsidy price, the GCEO said the N4.2 trillion figure was established based on calculations made from the distribution logistics of last month.

He further explained that the required subsidy amount to be spent by the government in the year under review was derived from converting the daily average of 63 million litres that was sold from January 2023 till date with 365 days in a complete calendar year.

Kyari also stated that NNPC is currently working hard to see that the repair of all damaged refineries across the country is completed quickly so that Nigerians can easily have access to fuel.

He added that NNPC, alongside IPMAN, is working to manage and control the price of fuel in collaboration with other security agencies; and that positive change should be expected in relation to the fuel scarcity problem that is currently facing the country in a space of one week.