The removal of fuel subsidies in Nigeria has significantly reduced cross-border smuggling of Premium Motor Spirit.
This is according to the Group Chief Executive Officer of the Nigerian National Petroleum Company Limited, Mr. Mele Kyari.
Kyari stated this in an interview with newsmen on Sunday explaining that the subsidy created a price disparity between Nigeria and neighbouring countries, making smuggling highly profitable.
Before the subsidy removal, Kyrari stressed the price difference was substantial, incentivising smugglers to transport fuel across borders.
However, “the removal of the subsidy has effectively calibrated fuel prices, eliminating the profitability of smuggling”, he said.
