Business

Subsidy: Tinubu to fix one refinery before December — Kyari

Published

3 years ago

June 2, 2023

Group Managing Director of NNPC, Mele Kyari

Subsidy: Tinubu to fix one refinery before December — Kyari

The Group Managing Director of Nigerian National Petroleum Company Limited, Mele Kyari, has revealed that the administration of President Bola Tinubu has concluded an arrangement to have one of the four refineries repaired and operating at an optimal level before the end of the year.

Kyari made the revelation when he visited the party secretariat for a meeting with the National Chairman of the All Progressives Congress, Senator Abdullahi Adamu.

The NNPC boss, who arrived at the premises at about 12.30 pm, was warmly received by the chairman and members of the National Working Committee.

Addressing newsmen after the session, Kyari explained that following the hike in pump price and the resultant effect on commercial fares, the president is working out some palliative measures to ease the pains of Nigerians.

He also added that there is an ongoing process of rehabilitation to ensure one of the refineries is ready this year.

“I’m aware that Mr president has directed some engagements and some palliatives will be put in place. I am very sure this will happen. There is an ongoing process of rehabilitation. One of them will come this year, the second one will come on stream next year and then the third will follow thereafter.

READ ALSO:

“Of course, it is very obvious that we can no longer afford subsidy. Subsidy bills have piled up. The country is not able to settle NNPC for the money we are spending on subsidy. Therefore pricing this petroleum at the market price is the right thing to do at this point in time and I believe it would benefit the country in the long term,” he said.

Recall Tinubu had affirmed during his swearing-in ceremony that his administration would not continue to pay subsidy on petroleum products.

He said the Federal Government was struggling to fund subsidies, noting that it was no longer justifiable to continue.

The development had triggered a 100 per cent hike in transport fares, while long queues resurfaced at fuel stations across Lagos, Abuja, Ilorin, Benin, Asaba, Port Harcourt, Kano, Makurdi and other major cities and urban areas.

To worsen the situation, many outlets shut down their facilities and refused to dispense fuel to motorists, further creating scarcity and panic buying at the fuel stations that were opened to customers.

But Kyari confessed on Thursday that the country can no longer sustain such an expensive regime.

According to him, over 38 per cent of the total fuel distributed in this country is consumed by four states namely Lagos, Abuja, Kano and Rivers.

He said, “There was subsidy in 2022 but in 2023, not a single naira was provided for the purpose. And ultimately while we held back our fiscal obligations, we still have a net balance of over N2.8trn that the federation should have given back to the NNPC. For any company, when you have negative N2.8 trn, there is no company in the whole of Africa that will lend to you. You cannot have receivables. The provision of subsidy is there but absolutely there is no funding for it. It means it is only on paper. It doesn’t exist.

READ ALSO:

“We can no longer bear it. If we continue, we will run into defaults and the defaults of NNPC is the default of Nigeria. Once NNPC goes into defaults and liquidity, it affects every borrowing done by the country. Even the subnational. Your lenders will come back to you and say your country can no longer pay. The only way you can stop this is to stop this conversation around subsidy. It is why Mr President announced that the subsidy is gone. In 24 hours, the bond market appreciated. It is nothing else other than the statement around subsidy and balancing of the apex market. These two elements are major concerns that every investor all over the world, and every partner that we have is worried about.

“Before today, the average subsidy level was N400bn every month. There is nothing anybody can do about it. There is this common argument that the masses will suffer. I agree that once you increase prices of this proportion, as it has happened, it will have an impact on inflation. There is no doubt about it. The market determines what happens next. Even inflation in very many countries goes up when you have the economic indices become difficult.

“Mr president’s target is to have seven per cent growth of GDP. You cannot have it if you have this disruption in your demands and consumption pattern. Very many of us here have at least two cars in our houses including myself. When you buy fuel of 100 litres in an SUV, you are literally subsidising three litres with 100 naira for all of us.

“Even the consumption itself is clearly skewed in locations and states where the level of economic activities are higher than the others. It is very understandable and that is why people can afford it in Abuja, Lagos, Port Harcourt, and Kano. So over 38 per cent of the total fuel distributed in this country ends up in these places. All the other parts of the country suffer for it and you can see the relativity. Imagine the per capita basis?

Subsidy: Tinubu to fix one refinery before December — Kyari

Related Topics:Kyari refinery subsidy Tinubu

Up Next

Maritime workers begin strike Monday, to shut down port operations

Don't Miss

Updated: CBN denies fresh naira devaluation

Railway

Easter train: NRC increases Lagos-Ibadan trips, offers free Osun holiday transit

Published

13 hours ago

April 1, 2026

Trends Admin

Easter train: NRC increases Lagos-Ibadan trips, offers free Osun holiday transit

With the 2026 Easter celebrations just around the length of a rail track away, the Nigerian Railway Corporation (NRC) has moved to prevent holiday travel gridlock by significantly boosting its service capacity.

In a move to accommodate the seasonal influx of travellers, the corporation announced a strategic mix of increased trip frequencies and a unique government-backed free transit programme.

The centrepiece of this holiday rollout is the Lagos-Ibadan Train Service (LITS). Anticipating a massive exodus from the coastal hub on Thursday, April 2, the NRC has added a third daily trip to its schedule. Commuters departing from the Mobolaji Johnson Station in Ebute Metta can now choose between 7:45am, 1:40pm, and 4pm slots.

Those returning from the Obafemi Awolowo Station in Ibadan have similar flexibility, with departures staggered at 8:00 a.m., 10:50am, and 4:30pm.

Adding a layer of relief for budget-conscious travellers, the NRC is collaborating with the Osun State Government to provide a fully funded narrow gauge service. This initiative allows passengers to travel from Lagos to Osogbo at no cost.

According to the corporation, the “free train” is scheduled to leave Iddo Station on Friday, April 3, at 10am, with the return leg bringing holidaymakers back to Lagos on Monday, April 6, at the same hour.

It also noted that while the South-West corridors see these specific boosts, the rest of the national network remains steady, the Northern Corridor (Abuja–Kaduna service) will maintain its robust schedule, offering up to three daily trips over the weekend to keep the Idu and Rigasa link fluid.
The Delta-Kogi Link (Warri–Itakpe line) continues its daily operations, though it will pause this Thursday for its standard safety maintenance window.
Also, the Eastern Line (The Port Harcourt–Aba service) remains on its morning-departure and afternoon-return cycle.

NRC management stressed that while capacity has increased, security and ticketing protocols remain a top priority. They are urging the public to arrive at stations early and cooperate with security personnel to ensure the holiday remains peaceful.

As the corporation looks toward a busy weekend, they continue to pitch rail travel as the safest and most dependable alternative for Nigerians traversing the country this Easter.

Business

Dangote Refinery Secures $4 Billion Syndicated Loan with $2.5 Billion Backing from Afreximbank

Published

18 hours ago

April 1, 2026

Trends Admin

Dangote Refinery Secures $4 Billion Syndicated Loan with $2.5 Billion Backing from Afreximbank

The African Export‑Import Bank (Afreximbank) has underwritten $2.5 billion of a $4 billion senior syndicated term loan for the Dangote Petroleum Refinery and Petrochemicals (DPRP), one of the continent’s most transformative industrial projects.

In a statement confirming the financing, Afreximbank said it and Access Bank Plc have been appointed co‑mandated lead arrangers for the five‑year facility, designed to enhance the refinery’s financial position and support its long‑term growth ambitions.

The syndicated loan — a financing structure involving a group of lenders jointly providing a large credit facility — marks a pivotal milestone for DPRP, which has a processing capacity of 650,000 barrels per day, making it one of the world’s largest single‑train refineries. The facility is expected to improve balance‑sheet flexibility, strengthen financing structures, and support DPRP’s role as a strategic supplier of refined petroleum products across Africa and global markets.

Since its commissioning in February 2024, the refinery has significantly reduced Nigeria’s dependence on imported refined products and opened opportunities for refined fuel exports, bolstering Africa’s energy security. Afreximbank noted that its involvement with the project goes beyond the latest credit facility:

It provided a $1 billion working capital facility to support refinery operations.
It acted as financial adviser on the Naira‑for‑Crude Initiative, a programme aimed at enabling crude oil purchases and refined product sales in Naira, thus reducing exposure to foreign exchange volatility.

READ ALSO:

In his remarks, Dr. George Elombi, President and Chairman of Afreximbank’s Board of Directors, said the bank takes pride in being the largest financier of the Dangote Group, with cumulative commitments of about $15 billion across its businesses since 2015.

“We do so primarily because Dangote is African,” Elombi said. “When we invest in ourselves, we do more than create jobs, wealth, or expand government revenues; we build a secure and resilient future for our continent.”

He added that Afreximbank remains committed to supporting transformative indigenous industrial projects that strengthen regional value chains and accelerate economic development across Africa.

Elombi described the Dangote Refinery as a “bold symbol of African ambition, African capital, and African execution.” According to him, beyond expanding refining capacity, the project will help reduce dependence on imported fuel, support intra‑African trade, and catalyse industrial growth.

Dangote Industries Limited also expressed appreciation for Afreximbank’s continued confidence and strategic support. The company emphasised that the syndicated loan package, backed by strong participation from a consortium of African and global financial institutions, reflects sustained investor confidence in the refinery’s long‑term viability and in Africa’s broader industrialisation agenda.

Industry analysts say the $4 billion financing will not only strengthen DPRP’s financial foundation but also enhance Nigeria’s role as a regional energy hub, potentially increasing refined product exports to neighbouring countries and beyond. (Sources: Afreximbank statement; Western Post; ProShare; Nigerian Bulletin)

Dangote Refinery Secures $4 Billion Syndicated Loan with $2.5 Billion Backing from Afreximbank

Business

Lagos LIRS Extends 2026 Individual Tax Return Deadline

Published

1 day ago

March 31, 2026

Trends Admin

Lagos LIRS Extends 2026 Individual Tax Return Deadline

The Lagos State Internal Revenue Service (LIRS) has extended the deadline for filing individual annual income tax returns to April 14, 2026, giving taxpayers in Lagos State extra time to comply with the 2026 year of assessment. The original filing deadline was March 31, but the extension aims to ensure residents can submit accurate tax returns without errors.

LIRS Executive Chairman, Dr. Ayodele Subair, emphasized that tax compliance is a civic duty, urging residents to submit their returns promptly even with the extended deadline. “The extension is meant to make filing easier and ensure accuracy, but taxpayers should not delay unnecessarily,” he said.

READ ALSO:

The authority reiterated that electronic filing via the LIRS eTax portal is now the only approved method, as manual submissions have been fully phased out. The platform is secure, user-friendly, and accessible 24/7, allowing taxpayers to file their returns conveniently from anywhere.

Taxpayers are also advised to enter their Tax Identification Number (TaxID) correctly during submission to avoid processing delays or errors. LIRS further encouraged individuals who require assistance to visit any of its offices or reach out through official communication channels, including their customer care hotline and social media platforms.

This extension follows LIRS’ ongoing efforts to strengthen digital tax compliance and make filing processes more efficient, reflecting broader reforms aimed at improving revenue collection while easing administrative burdens on taxpayers.

Authorities warned that missing the April 14 deadline could attract penalties and interest on late filings, reinforcing the importance of meeting the revised timeline.

Lagos LIRS Extends 2026 Individual Tax Return Deadline