The Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, has defended the Federal Government’s decision to remove fuel subsidy, saying petrol remains cheaper in Nigeria than in the United States and several African countries.
Lokpobiri made the statement during an interview on Channels Television’s Politics Today monitored by The News Chronicle, while defending the deregulation of the downstream petroleum sector amid concerns over rising petrol prices.
According to the minister, petrol currently sells for an average of N1,430 per litre in Nigeria, compared with N1,633 in the United States, N1,959 in Cameroon and N2,070 in both Ghana and South Africa.
“In the US, the average, you know, litre of fuel is N1,633. In Nigeria, it’s on the average of N1,430. If you go to Cameroon, it’s N1,959. If you go to Ghana, it’s N2,070. If you go to South Africa, it’s N2,070,” Lokpobiri said.
His comments came as the Dangote Petroleum Refinery and other fuel marketers cut depot prices following a decline in international crude oil prices.
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Lokpobiri argued that being an oil-producing country does not automatically guarantee cheaper petrol, even with the presence of the Dangote Refinery.
He cited the United States, which he described as the world’s largest oil and gas producer with extensive refining capacity, noting that petrol prices could still be higher there than in Nigeria.
The minister maintained that crude oil and refined petroleum product prices are largely determined by the international market, stressing that Nigeria cannot isolate itself from global energy prices.
“Oil and gas is a global commodity. What is sold in New York is what is also sold here,” he said.
Lokpobiri added that consumers in the United States and Europe were also feeling the effects of high energy costs, reinforcing his argument that Nigeria’s petrol prices are influenced by broader global market forces.
