The Minister of State for Petroleum Resources, Dr. Ibe Kachikwu, has said that Nigeria allocates an average of $28 billion of her foreign exchange earnings yearly to import about 92% of the petrol consumed locally, THIS DAY reports.
Kachikwu stated recently at the 2017 conference of the Modular Refineries Association of Nigeria (MRAN) in Abuja, that on the average, the country consumes 66 million litres of petrol daily. He also noted that 40% of the $28 billion import spends was used to finance its logistics.
He also stated that over the past four years, Nigeria had spent billions of monies on subsidy for petrol and kerosene, adding however that all it spent could have financed a lot of investments for her downstream infrastructure.
He added that through the government plans for the country’s oil and gas industry, it would create a robust domestic refining sector that could reduce petroleum products imports and attain 50 per cent of domestic refining capacity by the fourth quarter (Q4) of 2018, and 100 per cent by Q4 2019 with a projection of exporting excess capacity.