The government said the suspension of the plans to remove the subsidy followed consultations with stakeholders and was in line with the current economic realities in the country.
The removal of subsidy on petrol (Premium Motor Spirit) was earlier scheduled for June 2022.
But the Organized Labour comprising the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC) had begun mobilization nationwide for a total shutdown of the country effective from January 28 to protest the subsidy removal, saying it will further worsen the living standards and destroy livelihoods of Nigerians, especially the poor.
Minister of State, Petroleum Resources, Timipre Sylva, who spoke with newsmen after he met with President, Tuesday, disclosed that the executive was set to propose an 18 months extension to National Assembly for the implementation of the Petroleum Industry Act (PIA) that was meant to kickstart this February.
Buhari on 16th August 2021 signed the Petroleum Industry Bill into law after it was passed by both the Senate and the House of Representatives in July 2021.
The PIA is expected to boost investors’ confidence in the Petroleum Industry sector and create more employment opportunities for the populace in the host communities.
The Federal Government had claimed that it subsidizes petroleum consumption at the current N162 and N165 per litre as pump price to the tune of N3 trillion yearly.
While announcing plans to remove the subsidy in late 2021, the government said it will dole out N5, 000 to poor Nigerians to ameliorate their likely economic hardships.
