FG removes fuel subsidy, says petrol to sell for N85 by Jan 1st 2016

Minister of State for Petroleum , Dr Ibe Kachikwu during a
tour of the Port Harcourt refinery on Christmas
Day said that the Federal government is working to reduce
the pump price of petrol to about 85 or 86 naira per litre by
Jan 1st.
He said efforts were on to get the refinery to achieve 60
percent production capacity and to supply about 11 million
liters of petrol daily.
“If you look at the new PPPRA template that we
developed and which I just signed off two days
ago, when it is announced you will find out that for
now ,and I use the emphatic word of the President
for now, the price of the refined product will
actually be lower than 87 naira, It will be 85. We will
probably announce that in January if the prices
hold.
“Like I said, we have done a modulation calculation
and it is showing us below N87. I imagine that if
PPPRA publishes it today, it will become effective
immediately. But the 1st of January that is when
we are looking at.”
“What that does for you is that its modulating. If it
goes up you move up, if it comes down you come
down. So we take away the fact of having to go find
funds to pay for these subsidies that we cannot
afford.
“More importantly we try to be as close to the pump
price that we have now as possible,” he said.
Vanguard