President Muhammadu Buhari, on Thursday, asked the House of Representatives to approve N4trillion to fund petroleum subsidy.
President Buhari’s request was contained in a letter read by the Speaker, Femi Gbajabiamila during plenary session
It would be recalled that the administration had said N3trillion is required to pay for subsidy in 2022. The President asked the lawmakers to increase the oil benchmark from $62 per barrel to $73 per barrel.
However, in the letter read by Mr Gbajabiamila, the President said the N3 trillion will not be sufficient because of the increase in the price of crude oil which currently averages $100 per barrel.
He told the lawmakers that the country will not be able to produce the projected 1.83million barrel per day it early proposed in the 2022 budget.
President Buhari said the government has been forced to shut down several oil fields in the Niger Delta because of oil theft.
He disclosed that the adjustment will reduce the allocation to the Niger Delta Development Commission, North East Development Commission and some few statutory bodies.
The letter was referred to the House Committee on Finance by the Speaker.