Business

Zainab Ahmed: Falling oil revenue, petrol subsidy affecting full implementation of 2022 budget

Published

4 years ago

October 27, 2022

Minister of Finance, Budget and National Planning, Zainab Ahmed

Zainab Ahmed, minister of finance, budget and national planning, says oil revenue shortfall and petrol subsidy deductions are challenging the full implementation of the 2022 budget.

Ahmed said this on Wednesday when she appeared at the house of representatives committee on finance to present the performance of the 2022 budget.

She said the achievement of the nation’s revenue target has been adversely impacted by the decline in the oil revenue target.

In August, the Central Bank of Nigeria (CBN) said the country generated N799.10 billion from oil sector in the first quarter of 2022. The figure represented a 28.3 percent decline from N1.11 trillion in the fourth quarter of 2021.

While oil revenue amounted to N799 billion in three months, TheCable reported that petrol subsidy payments gulped N675 billion same period.

Presenting the 2022 budget performance on Wednesday, Ahmed said the federal government is taking measures to improve the country’s revenue.

“The full implementation of the 2022 budget is challenged particularly by oil revenues that are falling target at 27.1 percent as of August. Crude oil production challenges and PMS subsidy deductions by the NNPC constitute a significant threat to the achievement of our revenue growth target as seen in the oil and gas performance 2022 as of August,” the finance minister said.

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“Revenue generation remains the major fiscal constraint of the federation. The systemic resource mobilisation problem has been compounded by recent economic recessions we have witnessed, one during the first term of this administration in 2016, and the most recent one in 2020. But effort has mainly focused on improving tax administration and collection.

“The finance act 2020 that pegs the revenue to expenditure ratio of the government own enterprises at 50:50 has helped us greatly in ramping up revenues from the government-owned enterprises and the fact can be seen in the performance of the GOEs revenue of 1.3 trillion as of 2021.

“We are also putting effort into improving non-oil taxes and this is showing in the result of the performance of the non-oil target showing clearly that the non-oil revenues are performing below target and in fact, the non-oil revenues are now over 70 percent of the revenue performance of the federal government budget.”

Fielding questions from the lawmakers on what the federal government is doing to address inflation in the country, Ahmed said President Muhammadu Buhari has authorised the national food security council to meet and generate solutions to address the high cost of food prices.

She explained that the high cost of diesel was contributing to high prices of food.

“In Nigeria, we also have inflation and one of the buckets of inflation is food inflation. This can be seen in the high cost of energy and diesel,” Ahmed said.

“We find this showing up in food prices. Prices are going up because diesel prices are high. So when farmers produce their goods and they have to transport the goods to the market. The NBS data shows that food prices have actually declined but the cost of production is continuously increasing and impacting the cost of goods and unfortunately affecting our people.

“From the monetary side, what the CBN is doing is continuing to manage inflation by monetary tightening and by mopping up liquidity.

“On the side of the government, the president has authorised the national food security council and we have held meetings — even yesterday — on how some support will be provided.

“One of the means will be releasing stocks from the strategic reserves but also looking at how to provide some support in form of input in fertilizer production as well as input.”

The minister added that the food security council, will “in the next couple of days” provide recommendations to the president that will, later on, be announced for implementation.

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Dangote cuts petrol price again as crude oil surge threatens fuel price relief

Published

6 hours ago

July 9, 2026

Trends Admin

Dangote cuts petrol price again as crude oil surge threatens fuel price relief

Dangote Petroleum Refinery has announced another reduction in the ex-depot price of Premium Motor Spirit (PMS), popularly known as petrol, despite renewed pressure in the international oil market caused by a sharp increase in global crude oil prices.

The latest adjustment comes as Nigeria’s downstream petroleum sector records mixed pricing trends, with wholesale petrol prices remaining largely stable across major depots while diesel prices climbed in several locations, particularly in Lagos.

According to the latest depot pricing data released on Wednesday, Dangote Refinery reduced its petrol loading price by ₦1 per litre, bringing the ex-depot price down from ₦1,076 to ₦1,075 per litre.

Although the reduction appears marginal, it reinforces the refinery’s commitment to maintaining competitive pricing in Nigeria’s deregulated downstream petroleum market.

The latest adjustment follows Dangote Refinery’s recent decision to slash its ex-gantry petrol price by ₦50 per litre to ₦1,075, marking its fourth major reduction within one month and bringing cumulative cuts to ₦200 per litre since late May.

The refinery has consistently maintained that its pricing decisions are driven by production economics, inventory costs and operational sustainability rather than short-term movements in international crude oil prices.

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According to the company, a significant portion of the crude currently being refined was purchased when global oil prices were much higher, limiting the extent of immediate reductions despite recent improvements in market conditions.

The refinery has also aligned its coastal loading price with the new ex-gantry rate and expanded fuel sales to all qualified petroleum marketers after ending its previous consortium sales arrangement, a move expected to improve product availability and encourage greater competition across the country.

In another development, MRS Oil Nigeria reduced its wholesale petrol price by ₦2 per litre, lowering its depot price from ₦1,076 to ₦1,074 per litre, making it one of the cheapest suppliers in the Lagos market.

However, other major marketers, including NIPCO, Sahara Energy, Aiteo and African Terminal, retained their previous petrol prices, reflecting relative stability in the wholesale market despite growing competition.

Across Lagos depots, wholesale petrol prices remained within a narrow range of ₦1,074 to ₦1,075 per litre, indicating that marketers are adopting cautious pricing strategies while closely monitoring developments in the global energy market.

Unlike petrol, diesel (Automotive Gas Oil – AGO) recorded widespread price increases across several depots in Lagos.

African Terminal increased its diesel price from ₦1,410 to ₦1,450 per litre, while Duport, Ibachem, Ibeto and T-Time implemented similar ₦40 per litre increases, pushing their depot prices to ₦1,450 per litre.

In contrast, the Port Harcourt market recorded lower diesel prices.

Matrix Depot reduced its AGO price by ₦50 per litre, from ₦1,550 to ₦1,500, while Sigmund trimmed its diesel price from ₦1,463 to ₦1,460 per litre.

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Petrol prices in Port Harcourt remained unchanged, with Matrix maintaining its PMS depot price at ₦1,100 per litre.

In Warri, competition among marketers resulted in slight reductions in petrol prices.

Nepal and Optima each lowered their depot prices by ₦2 per litre to ₦1,083, while Parker reduced its price by ₦1 to ₦1,084 per litre.

Other marketers, including Matrix, Rain Oil, Prudent Energy and A.Y.M. Shafa, maintained their petrol prices at ₦1,085 per litre.

Diesel prices in Warri, however, moved in the opposite direction.

Prudent Energy raised its AGO price by ₦70 per litre, from ₦1,480 to ₦1,550, while A.Y.M. Shafa retained its diesel price at ₦1,435 per litre.

In Calabar, Soroman maintained its petrol price at ₦1,100 per litre, while Fynfield increased its diesel price by ₦30, from ₦1,450 to ₦1,480 per litre.

Meanwhile, developments in the international oil market have raised fresh concerns over the sustainability of recent fuel price reductions.

On Wednesday, the global oil market witnessed a strong rally as renewed geopolitical tensions and concerns over tighter crude supplies pushed prices sharply higher.

The international benchmark Brent crude gained 7.32 per cent to trade at $79.59 per barrel, while West Texas Intermediate (WTI) rose 6.79 per cent to $75.22 per barrel.

Energy analysts say a sustained increase in global crude prices could eventually reverse the downward trend in domestic fuel prices because crude oil accounts for the largest share of refining costs.

Although Nigeria’s growing domestic refining capacity—led by Dangote Refinery—is expected to reduce dependence on imported petroleum products and improve market competition, experts note that exchange rates, international crude oil prices, logistics costs and broader market dynamics will continue to influence fuel prices under the country’s deregulated downstream petroleum regime.

For consumers, transport operators and manufacturers, the latest petrol price adjustment offers modest relief. However, industry observers caution that the direction of future fuel prices will largely depend on developments in the global oil market and the cost of crude available to local refiners.

Dangote cuts petrol price again as crude oil surge threatens fuel price relief

Business

Dangote launches free petrol delivery in Lagos, Abuja, five other states

Published

22 hours ago

July 8, 2026

Trends Admin

Dangote launches free petrol delivery in Lagos, Abuja, five other states

Dangote Petroleum Refinery has launched a free delivery programme for Premium Motor Spirit (PMS), popularly known as petrol, to customers in Lagos, Ogun, Rivers, Kaduna, Delta states and the Federal Capital Territory (FCT), Abuja, while maintaining its ex-depot price at N1,075 per litre.

The refinery announced the initiative in a notice published on its official X (formerly Twitter) account on Wednesday, describing the programme as part of efforts to improve the distribution of locally refined petrol, reduce logistics costs for marketers and ensure more efficient fuel supply across Nigeria.

According to the company, the free delivery service is available to customers purchasing a minimum of 250,000 litres of petrol. The current rollout covers six strategic locations, with plans to expand the initiative to other parts of the country in subsequent phases.

In addition to free transportation, the refinery introduced a 10-day credit facility for qualified bulk buyers, a move expected to ease cash flow challenges for marketers, improve inventory management and encourage wider distribution of fuel nationwide.

The latest initiative comes days after Dangote Petroleum Refinery held a meeting with stakeholders in Nigeria’s downstream petroleum sector to discuss cost-reflective petrol pricing, supply stability and measures to make fuel more affordable for consumers.

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The meeting ended with marketers and industry operators expressing support for further reductions in petrol prices as local refining capacity continues to improve.

The free delivery programme also follows the refinery’s latest reduction in its ex-depot (gantry) price of petrol from N1,125 to N1,075 per litre, marking the fourth downward price review by the company in recent weeks.

Industry analysts believe the consistent price cuts reflect increasing production capacity at the refinery, improved operational efficiency and growing competition in Nigeria’s deregulated downstream petroleum market.

The refinery has also widened access to its products by allowing all licensed petroleum marketers to purchase directly, ending its previous consortium sales arrangement. The move is expected to promote competition, improve product availability and reduce supply bottlenecks across the country.

By absorbing transportation costs to the six pilot locations, Dangote Petroleum Refinery is expected to lower operational expenses for marketers. Analysts say the savings could translate into lower retail pump prices if passed on to consumers.

Commenting on recent market trends, the President of the Independent Petroleum Marketers Association of Nigeria (IPMAN), Abubakar Maigandi, disclosed that the retail price of petrol has dropped by about N125 per litre within the last three weeks.

According to him, pump prices currently range between N1,155 and N1,299 per litre, depending on transportation costs, location and individual marketers’ pricing structures.

Maigandi attributed the reduction to increased local supply from the Dangote Petroleum Refinery, heightened competition among marketers and the refinery’s successive reductions in ex-depot prices.

Industry experts believe the combination of lower gantry prices, free product delivery and easier access to supplies for marketers could further stabilise Nigeria’s fuel market, improve nationwide availability of petrol and moderate pump prices in the coming weeks.

The development represents another milestone for Dangote Petroleum Refinery as it expands its influence in Nigeria’s energy sector through increased domestic refining, improved fuel distribution and market-driven pricing strategies aimed at reducing the country’s dependence on imported petroleum products.

If successfully implemented on a wider scale, the initiative is expected to enhance fuel supply efficiency, strengthen competition in the downstream petroleum sector and deliver cost savings that could ultimately benefit millions of Nigerian motorists and businesses.

Dangote launches free petrol delivery in Lagos, Abuja, five other states

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Winpart by CFAO, CFAO Solidarity Advance Child Welfare Through Bethesda Foundation Initiative

Published

2 days ago

July 7, 2026

Trends Admin

L-R: Director of Operations and Pastoral Care, Bethesda Child Support foundation, Mrs Lanre Abu: representative of the founder, Bethesda Child Support foundation; Barrister Olamide Adeleye; General Manager, Winpart by CFAO, Mr. Eric Fantodji; and Deputy Managing Director, CFAO Mobility, Mr Kunle Jaiyesimi, at the presentation of Financial support from CFAO Solidarity and Winpart by CFAO to Bethesda Child Support Foundation in Lagos recently

Winpart by CFAO, CFAO Solidarity Advance Child Welfare Through Bethesda Foundation Initiative

Winpart by CFAO, in collaboration with CFAO Solidarity, has reinforced its commitment to community development and social impact by supporting the Bethesda Child Support Foundation, a gesture aimed at expanding care, education and empowerment opportunities for vulnerable children while strengthening sustainable development initiatives across the communities where the CFAO Group operates.

The donation forms part of a broader corporate social responsibility initiative designed to support organisations making measurable differences in the lives of disadvantaged people.

Through the intervention, CFAO Solidarity and Winpart by CFAO presented €7,000 and ₦1 million to the Foundation to bolster its programmes focused on child care, protection, education and holistic development.

Speaking during the presentation ceremony, the Deputy Managing Director of CFAO Mobility Nigeria, Kunle Jaiyesimi, said the company believes business growth must be accompanied by meaningful contributions to society.

“At CFAO, we believe that business success must go hand in hand with social responsibility. Our support for the Bethesda Child Support Foundation reflects our commitment to backing initiatives that create meaningful and lasting impact in the lives of children and communities,” he said.

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Jaiyesimi noted that the intervention aligns with the company’s broader vision of promoting sustainable community development through strategic partnerships with organisations delivering tangible social impact.

The project is one of several initiatives selected and funded by CFAO Solidarity, the Group’s employee-led solidarity programme, which supports impactful community projects across the countries and communities where CFAO operates. Working with credible partner organisations, the programme seeks to improve the lives of vulnerable populations while driving positive and lasting social change.

Also speaking at the event, the General Manager of Winpart by CFAO, Eric Fantodji, said the company was proud to support an organisation dedicated to giving vulnerable children hope and opportunities for a better future.

“The work being done by the Bethesda Child Support Foundation is truly inspiring. We are honoured to support a cause that provides care, hope and opportunities to children who deserve the chance to build brighter futures. Through CFAO Solidarity, we are proud to be part of a wider movement supporting impactful community projects across our areas of operation,” he said.

Receiving the donation on behalf of the Foundation, Olamide Adeleye expressed gratitude to Winpart by CFAO and CFAO Solidarity, describing the support as a significant boost to the Foundation’s mission.

“We are deeply grateful to Winpart by CFAO and CFAO Solidarity for their generosity and belief in our mission. This support will contribute significantly to the welfare, development, and empowerment of the children under our care,” she said.

The initiative further underscores CFAO’s commitment to sustainable development and community engagement, highlighting the value of partnerships between the private sector and social institutions in creating lasting benefits for vulnerable communities.

Through interventions such as this, CFAO Mobility Nigeria and CFAO Solidarity continue to strengthen their commitment to building resilient communities, supporting vulnerable groups and advancing inclusive, sustainable development across the regions where the CFAO Group operates.