PEF: FG may bridge gas transportation cost

The Federal Government may be considering paying for the transportation cost of gas, in order to expand the domestic use of cooking gas nationwide.


Executive Secretary of the Petroleum Equalisation Fund (PEF), Ahmed Bobboi, who hinted on possible establishment of a scheme to take up payment of gas transportation yesterday in Abuja, said bridging or equalisation for the transportation gas would leverage on existing infrastructure used for paying for the transportation of petrol across the country.


According to him, the benefits of equalization and bridging as seen in the distribution and stable price of petrol, should also be felt by consumers of gas by having increased access to the product at an affordable rate nationwide.

He said: “If it is working well for petrol, we said well government wants to promote the use of gas, if we can extend that scheme to gas we believe that it will add value to the economy in so many ways in the value chain.


“It will help in getting the consumers in those areas to accept the usage of gas and abandon the age long use of fire wood in cooking with its attendant problems and challenges including health hazards and deforestation which causes a lot of  “It will also make the product available because we have it in abundance in the country.


It also make affordable to the people because if you incentives the marketer by paying for his transportation to take it to the last mile, the consumer will also be incentives because the marketer will bring down his price so that it will be affordable and accessible to consumer.” Commenting on the disagreement between the Petroleum Tanker Drivers (PTD) and Nigerian Association of Road Transport Owners (NARTO), Bobboi disclosed that government was in talk with all parties to ensure a permanent solution to the problem, in order to avoid another scarcity of petrol witnessed as a result of the tanker drivers strike.


While explaining that despite the provision of a new transportation cost of N9.11 in the new petrol pricing template, the implementation was delayed by the negotiation between labour and the government, he gave assurances a temporary solutionwasinplacepending when governmentcompletesitsnegotiationwithorganisedlabour

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