OrderPaperToday – The Senate on Thursday approved the sum of N129.4 billion as payment to oil marketers importing refined crude into the country.

The approval was followed by the presentation of a report by the Chairman Senate Committee on Petroleum Resources (downstream), Kabir Marafa.

According to Marafa, the amount to be paid is the last payment to the oil marketers.

He said: “It was first considered on the 31st May 2018. After submissions made by the ministry of finance observed as follows that the oil subsidy arrears claims were based on three elements namely; subsidy, forex differentials and bank interests.

“The recent claim is based on one of the identified elements that is the forex differentials. It is pertinent to note that this is that last tranche of payment.

“The committee after due consideration [recommends] that the senate approve the sum of N129.4 billion as final subsidy arrears claim.”

Senator Yusuf Yusuf in his contribution proposed that the Federal Government work on the value of the naira in order to address fuel subsidy issues.

Yusuf said: “Until we tackle the value of the naira, we will be having subsidy. The fundamental issue is that the value of the naira needs to be addressed.”

Senator Victor Umeh sought for a long term solution.

He said: “What happens after this arrears have been paid?

“Last year, it was close to a trillion naira. It is a terrible situation for Nigeria. Why can’t we use what we realise from sale of crude to have functional refineries.”

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