NEITI set to provide data on actual fuel consumption

NEITI set to Provide Data on Actual fuel Consumption

The Nigerian Extractive Industries Transparency Initiative (NEITI) is set to provide data on the actual volume of Premium Motor Spirit (PMS) consumption in the country.

Dr Orji Ogbonnaya Orji, the Executive Secretary of NEITI, made this known at a consultative forum with the Civil Society Organisations and the media on Tuesday in Abuja.

Orji said it would begin providing baseline information and data on the utilisation and management of the 13 per cent derivation paid to oil producing states in the country.

According to him, the baseline study is important as it will determine if the states are getting their dues and if the government is paying what they should.

This, he said, would provide critical data required to monitor how much being allocated monthly to oil-producing states and their managements.

Orji added that it was a political issue as states with solid minerals had canvassed to be included in the list.

“It is a special report we are commissioning this year alongside the oil and gas report.

“We are also commissioning a study on the actual PMS consumption in Nigeria, an independent report to establish the quantity of fuel Nigeria consumes and its costs, it will be used to manage the sector as subsidy is removed,” Orji said.

According to figures by the National Bureau of Statistics, the 13 per cent derivation fund distributed among the nine oil-producing states in Nigeria rose by 115.5 per cent to N970.2 billion in 2022, following improvement in the price of crude oil in 2022.

The civil societies representatives also lauded the move, and thereby described it as ‘revolutionary’.

They, however, suggested that credible civil society organisations and states that have set up commissions on the fund should be included in the study.

They further recommended other possible reports to gather, especially on artisanal refining.

Petrol consumption and pricing in Nigeria have been the subject of interest following the removal of subsidies.

Prior to scrapping petrol subsidies, petrol consumption was officially said to be around 66 million litres daily, but the bulk of that reportedly was smuggled outside the country.

Since its removal, consumption has fallen by a third, according to figures from the government regulator. #NEITI set to provide data on actual fuel consumption#

NESG Predicts Stronger Economic Growth

Previous articleOil Slumps Over Weak Demand in China
Next articleMTN, Mastercard, Exponential Consulting to Train 20,000 Women Entrepreneurs
MarketForces Africa, a Financial News Media Platform for Strategic Opinions about Economic Policies, Strategy & Corporate Analysis from today's Leading Professionals, Equity Analysts, Research Experts, Industrialists and, Entrepreneurs on the Risk and Opportunities Surrounding Industry Shaping Businesses and Ideas.