The minister said these in a statement published on Thursday on the ministry’s Instagram page, with the title ‘Deregulation: The facts and the reasons behind the policy’.
Sylva also said the government had concluded that it could no longer bear the burden of petrol subsidy.
He went on to say; “After a thorough examination of the economics of subsidising PMS for domestic consumption, the FG concluded that it was unrealistic to continue with the burden of subsidizing PMS to the tune of trillions of Naira every year. More so when this subsidy was benefiting in large part the rich rather than the poor and ordinary Nigerians. Deregulation means that the Government will no longer continue to be the main supplier of Petroleum Products. But will encourage private sector to takeover the role of supplier of Petroleum Products.”
For the avoidance of doubt, he said “We can no longer avoid the inevitable and expect the impossible to continue. There was no time Government promised to reduce Pump Price and keep it permanently low.”