A Nigerian refinery has taken over the role of the equalisation fund, absorbing over N10 billion to ensure a uniform petrol price across the country during the Christmas period. This move, according to development economist Ken Ife, signifies a shift in the subsidy burden from the public purse to the private sector. The refinery's diesel production has also provided much-needed relief to manufacturers and consumers by reducing diesel prices multiple times since January 2024.
The development comes weeks after the refineryIn a statement on Tuesday, the company said the move is in an effort to better serve its customers and Nigeria ns in general.
Ife also praised the refinery for setting a new benchmark in Nigeria’s energy sector by unlocking vast opportunities for export revenue.He said that for years, the equalisation fund had been responsible for managing the price differentials and transportation costs involved in distributing petrol across the country.
“The equalisation fund, which was meant to cover the price differential and transportation costs, plays a crucial role.
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