Oil marketers have written to the Federal Government proposing to build 30,000 gas stations to cushion the impact of the proposed subsidy removal on petrol. With the projected June 2023 date for subsidy removal looming, Nigerians are concerned about potential petrol prices of around N750/litre.
The oil marketers have requested an audience with the Federal Ministry of Finance to present a palliative solution. They propose partnering with Gas Analytics & Solutions Ltd to co-locate natural gas dispensers at their network of over 30,000 filling stations in Nigeria. This would provide a cushion against high petrol prices, reduce the need for forex to import petrol, and also help in reducing greenhouse gas emissions.
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The Nigeria Midstream Downstream Petroleum Regulatory Authority and the Gas Aggregation Company of Nigeria have set up a joint working committee to provide necessary permits and approvals for the gas expansion plan. The oil marketers are also seeking support from the Central Bank of Nigeria to provide access to the Gas Expansion Fund for vehicle owners to finance the acquisition of natural gas conversion kits.
The Nigerian Labour Congress is also waiting to engage the incoming government on the subsidy removal issue after the inauguration of the Bola Tinubu-led administration.
