Subsidy removal 'll begin with budget implementation

The Group Managing Director, Nigerian National Petroleum Corporation, Mr. Austen Oniwon, has said the removal of fuel subsidy will commence as soon as the Federal Government commences the implementation of next years budget.He disclosed this on Monday after the 2008/2009 Annual General Meeting of the Pipelines and Products Marketing Company in Abuja.He said, I think what people should really look at is that in 2012 budget proposal, there is no provision for subsidy. And if there is no provision for subsidy, then it will become illegal for government to pay subsidy. I believe when the implementation of that budget takes off, deregulation would have taken off.According to him, the Federal Government will certainly remove the subsidy.Oniwon had earlier disclosed that PPMC recorded a loss after tax of N19.29bn in 2009 while presenting the PPMC financial report at the AGM.But he explained that upon the removal of subsidy, the company would recover its cost.Oniwon noted that if PPMC was able to recover its cost, it would not pass any inefficiency to the people to pay for.He added that since PPMC would compete with others, it would become more efficient.
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