By Nudoiba Ojen
The Federal Government has said that the Nigerian National Petroleum Company Limited will be the sole buyer of Premium Motors Spirit from Dangote Refinery.
The Minister of Finance and the Coordinating Minister of the Economy, Wale Edun, who disclosed this at a press briefing on Friday in Abuja, said, “For now, PMS will only be sold to NNPC. NNPC will then sell to various marketers.”
The minister, who was represented by the Executive Chairman of the Federal Inland Revenue Service, Dr Zacceus Adedeji, said the supply would begin on Sunday also with an initial 25 million litres per day.
He said, “I am glad to announce that all agreements have been put in place, and the loading of the first batch of PMS, as already announced by NNPC, will commence on Sunday, September 15, 2024.
“And from October 1, NNPC will commence the supply of crude oil to Dangote Refinery to be paid for in naira. In return, Dangote Refinery will supply PMS and diesel of equivalent value to the domestic market to be paid for in naira.”
The minister also said all associated regulatory costs pertaining to the Nigeria Ports Authority, Nigerian Maritime Administration and Safety Agency and others would also be paid for in naira.
“Diesel will be sold in naira by Dangote Refinery to any interested off-taker. All associated regulatory costs -NPA, NIMASA, Federal Inland Revenue and all other Regulatory fees that are associated with this transaction will be paid in naira.
“The technical committee that worked to flesh out this initiative, I mean this committee will transition to an implementation, Execution and Monitoring Committee that will be working out of the Lagos for the next three to six months,” he added.
On the approval to sell crude oil to local refineries in naira and purchase petrol from the refiners in the local currency, Edun said the decision would reduce pressure on the local currency.
On July 29, the federal executive council approved a proposal by President Bola Tinubu directing the NNPC to sell crude oil to the Dangote refinery and other refineries in naira.
The minister said the move would also eliminate unnecessary transaction costs, and improve the availability of petroleum products in the country.
