FG gives Nigerians N2 New Year gift, reduces petrol price to N85 per litre, scraps subsidy

Nigerians got a N2 New Year gift from the Federal Government on Friday.
From January 1, N2 will be removed from the current price of a litre of Premium Motor Spirit (petrol).
Minister of State, Petroleum, Dr. Ibe Kachikwu, disclosed in Port Harcourt, Rivers State, that consumers would get the product for N85 per litre.
Kachikwu was in the oil-bearing state to inspect the Port Harcourt Refinery Company.
He disclosed that the new price template was approved for the Petroleum Product Pricing Regulation Agency (PPPRA) on Thursday.
Kachikwu, who is also the Group Managing Director (GMD) of the Nigerian National Petroleum Corporation (NNPC) declared that the Federal Government would scrap the Petroleum Support Fund (fuel subsidy) because of the fraud associated with it.
He said: “It is out. I signed off on it yesterday (Thursday). I imagine that in the next couple of days, the marketers would get advice on that. The nice thing about the PPPRA, where I signed up on it yesterday, is that the price will be far below N87. So for the first time, people will understand that the pricing modulation I was talking about is not a gimmick. It is for real.
“We have gone to find out how we will be able fluctuate this market to reflect what the reality of crude market is. The objective is that one, we cannot afford to continue to subsidize . We can’t even understand where those subsidies were going to. There is a lot of fraud elements in it, so we need to cut that off.
“The second is that the earning capacity of the Federal Government is deteriorating by the day with lower prices of crude.”