…says no sack of oil workers
…to finalize implementation in 12 months
By Uthman Salami
The Federal Government has concluded plans to unveil roadmap for removal of subsidy completely on Premium Motor Spirit (PMS) during the implementation Petroleum Industry Act (PIA) signed by President Muhammadu Buhari.
The Minister of state for Petroleum Resources, Timipre Sylva disclosed this when he featured on Politics Today on Channels Television yesterday.
The Minister said in reaction to the deadline for the final removal of subsidy, question which has plagued so many Nigerians, that the government will come out very soon with the roadmap for fuel subsidy removal.
“I don’t want us to preempt what the outcome will be. But I can assure you that very soon, we will come out and let Nigerians know the road map to the removal of subsidy. “This adminstration has tackled the issue of subsidy. A lot of people have been sent on trial because of subsidy,” he noted
Sylva added that there is alot of corruption around subsidy. “We know this. That is why we have tried from the very beginning to ensure that subsidy is finally removed,” he assured
The Minister explained that the government is “looking at the possibilities of alleviating some of the problems that might come as a result of deregulation.
This,he said includes adequate provisions in the PIA to ensure that workers in the industry do not lose their jobs.
He assured Nigerians that the implementation of the newly signed PIA would not lead to any retrenchment of workers in the oil and gas industry.
He said, “we have made provision in the law to make sure that no job will be lost in the oil industry as a result of PIA,” emphasising that rather than workers retrenchment, “there will be more benefits for government workers as you know government doesn’t pay as much as private companies.”
In making the implementation of the Act hitch-free, Sylva said the Federal Government is now more committed to ensure that the provisions of the Act are fully adhered to.
Sylva, further made clarification on the accrual of funds into the federation account, explaining that “Money will still be accrued to the Federation account, but NNPC will now have to give the federation crude to the Upstream Regulatory Commision. NNPC will no longer be responsible for the federation crude.
On the issue of Petroleum Equalization Fund (PEF), the minister said he did not see the PEF existing as it was under the new dispensation.
According to him, “If we are saying that petrol will be sold at a deregulated prices, there will be no place for PEF as it exists now. This is because if petroleum products prices will be market determined, then petroleum products will be sold at a market determined prices everywhere.
He added that though “It may not be existing as petroleum equalization funds,” PEF will be subsumed under the midstream and Downstream Regulatory Commision.
In a related development, President Muhammadu Buhari has given the go for the implementation committee, headed by the Minister of State for Petroleum Resources, Chief Timipre Sylva, to immediately commence implementation of the Petroleum Industry Act in 12 month.
President made this known during a meeting with the leadership of the National Assembly led by the President of the Senate, Dr. Ahmad Lawan.
He charged other ministries and departments of agencies to work hand in glove with the minister of state for a successful completion of the implementation process.