The Petroleum and Natural Gas Senior Staff Association of Nigeria, PENGASSAN has confirmed the return of fuel subsidy under President Bola Tinubu.
President Tinubu had announced the removal of fuel subsidy on his first day in office, leading to an increase in fuel price from N197 to between N480 and N570, the pump price was subsequently reviewed upward to N620.
However, there were reports that the price would go up as a result of fluctuation in the global oil market.
There were also reports that the federal government intervened to prevent further rise in pump price, but the government denied this.
Speaking on Channels Television’s Politics Today, Festus Osifo, National President of PENGASSAN, said due to the cost of crude oil in the international market and the exchange rate, the government still pays subsidies on petrol.
He said before the government can stop subsidising petroleum, two things must happen which are: the effective management of exchange rate, pump in supply and bringing down the exchange rate.
