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Abuja Businesses Urge Govt to Build Modular Refineries

The Abuja Chamber of Commerce and Industry has called on the Federal Government to as a matter of urgency build modular refineries to avoid further increase in the fuel price.

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The President of the Chamber, Mr Tony Ejinkeonye, while speaking against the backdrop of the comment of Minister of State for Petroleum, Ibe Kachikwu, over purported plan to increase price of fuel by the Federal Government.

Kachikwu while addressing journalists at the State House after meeting the President on Mondayindicated that government would not heed former NNPC Group Managing Directors’ (GMDs) advice.

Kachikwu’s statement comes a day after former GMDs, NNPC, advised the government to increase the price.

The former NNPC had chiefs argued that the current price cap of N145 per litre of petrol was “not congruent with the liberalization policy.”

The removal of the cap under a liberalised market environment would allow marketers of petroleum products to sell at a comfortable price based on factors such as the exchange rate and international crude price.

The Naira exchange rate had gone down by over 50 per cent to about N412 since the current petrol

Ejinkeonye said that “ACCI believes that it’s impossible not to have a price increase with the forex situation as it is, unless we are going back to subsidy of products.”

He advised the Federal Government to let Nigerians know where it is heading to on the issue of fuel adding that “government should face reality and not flip flop on decisions.”

According to him it is better for Nigerians to understand where we have found ourselves and not delay what we ultimately know must happen.

Online Editor by — September 9, 2016 in Business News