Data on the country’s real use of Premium Motor Spirit (PMS) will be made available by the Nigerian Extractive Industries Transparency Initiative (NEITI).
At a consultative conference with the media and Civil Society Organisations on Tuesday in Abuja, Dr. Orji Ogbonnaya Orji, the Executive Secretary of NEITI, said this.
The 13 percent derivation provided to the nation’s oil-producing states will be used and managed, according to baseline statistics and information, according to Orji.
The baseline research, in his opinion, is crucial because it will show if the federal government is making the appropriate payments to the states and whether they are receiving their fair share.
He claimed that this would provide the vital information needed to keep track of the monthly amounts allotted to the administrations of oil-producing states.
Orji continued by pointing out that it was a political problem because governments with solid mineral resources had lobbied to be included in the list.
Along with the oil and gas report, we are commissioning a special report this year.
In addition, Orji said, “We are commissioning a study on the actual PMS consumption in Nigeria, an independent report to establish the amount of fuel Nigeria consumes and its costs, it will be used to manage the sector as subsidy is removed.”
The 13% derivation income split among Nigeria’s nine oil-producing states increased by 115.5% to N970.2 billion in 2022 as a result of an increase in crude oil prices, according to data from the National Bureau of Statistics.
The representatives of civic societies applauded the action as well, calling it “revolutionary.”
However, they advocated for the study to include nations that have established commissions on the fund as well as reliable civil society organisations.
They also made recommendations for more reports that might be gathered, particularly on artisanal refining.
After the subsidies were eliminated, interest has grown in Nigeria’s petroleum usage and pricing.
Officially, daily petrol usage was estimated to be over 66 million litres before fuel subsidies were eliminated, but the majority of that was reportedly being smuggled out of the nation.
Data from the government regulator show that consumption has decreased by 30% since its removal.
