Senate refute reports of plans to increase fuel price by 5 Naira

- The media reports that a Senate committee recommended a 5 naira fuel levy on every litre of petroleum or diesel is false

- What the Senate committee did was to canvass for the sustainable maintenance of roads from the pricing template of petroleum products

- Most African countries have actually implemented an average of N25 surcharge on petroleum products for the maintenance of their roads

Legit.ng can authoritatively reveal that media reports suggesting that a Senate committee recommended a 5 naira fuel levy on every litre of petroleum or diesel is false.

Legit.ng gathered that what the Senate committee did was to canvass for the sustainable maintenance of roads from the pricing template of petroleum products.

At the public hearing on the National Roads Fund Bill, stakeholders were unanimous on the need to access a percentage of the funds for the sustainable maintenance of roads from the pricing template of petroleum products.

While the consensus on participants was on a percentage, opinion varied as to what percentage. Some argued for 25%, 11%, 7% and 5% of the value of the price of the product.

This position was held strongly since most other African countries have actually implemented an average of N25 surcharge on petroleum products for the maintenance of their roads.

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It was the widely-held view that we may not be able to go that far in view of the economic challenges the country was going through and the need to ameliorate the suffering of the ordinary Nigerian.

The technical committee in reviewing this submission determined that even at a surcharge of 5% which leaves the value at about N11 (at the current price of PMS) will be untenable not only due to implementation challenge that would have require that at all times, the surcharge will mean an addition burden is placed on Nigerians beyond the cost of the petroleum product.

It was therefore agreed that the charge be pegged at N5 (five naira) and implemented within the existing charges template rather than a calculation arrived at in addition to the price of the product.

In a statement sent to Legit.ng, the special assistant on new media to the Senate president, Bamikole Omisore stated that what the Senate has adopted is an innovative and most sensitive approach to eliminate the possibility of increasing the price of fuel in order to fund the Roads Fund.

“Now with what we have, the charge on petroleum products for the purpose of funding road maintenance will have to be determined within the charges template as they already existing within the PPPRA template.

“There is no ambiguity in what the Senate has done as there will be no one naira added to the current price of fuel as a result of this bill. The charge is to be accommodated within the pricing charge template in effect within the PPPRA.

“What the Senate has adopted is the minimalist approach to ensure that our roads can come back to life,” Omisore said in an email sent to Legit.ng today, Saturday, June 3.

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Meanwhile, the minority leader in the House of Representatives, Honourable Leo Ogor has said the Muhammadu Buhari administration has no clear cut economic policy.

Ogor, who represents Isoko Federal Constituency in Delta state, made the comment on popular breakfast show, Sunrise Daily on Channels Television today, June 1.

His words: “This government has no clear-cut economic policies. The primary responsibility of every government is the security and welfare of it's citizens.

“We voted this government because we expected them to do better than the previous administration.

“This government made so many promises and they have not been able to keep one. If a government has a programme which we think is laudable, it must be given some level of legal framework."

Watch the Legit.ng TV video below of the minister of transportation, Rotimi Amaechi talking about the achievements of the federal government.

Source: Legit.ng