Lawyer Faults Speaker Over Call For Price Control Of Fuel | Independent Newspapers Limited
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Lawyer Faults Speaker Over Call For Price Control Of Fuel

Posted: Jul 21, 2015 at 1:15 am   /   by   /   comments (0)

By Emmanuel  Okwuke,  Lagos

 

Chairman of OTL Africa Downstream, Barrister Emeka Akabogu, On Monday faulted the Speaker of the House of Representatives, Hon.Yakubu Dogara over his call for price control for petroleum products in the country.

The Speaker was quoted recently as saying that by law in this country, the price of petroleum products must be controlled, and that the only legal way subsidy can be removed is to either amend or completely repeal the Price Control Act.

But Akabogu, in a statement, said the Speaker’s contentions are not entirely correct.

According to him, neither the Price Control Act nor facts relating to its operation show any impediment to the removal of fuel subsidy. ‘’It is important to note that what the Price Control Act prohibits is sale of “any controlled commodity at a price which exceeds the controlled price”.

He explained that a necessary precondition to this provision is that the controlled commodity must have had a controlled price fixed in respect thereof, adding that by section 5 of the Act, it is only the Board that can fix the controlled price by notice published in the Federal Gazette.

He said: The position therefore is that where a price has not been fixed by the Board in respect of a controlled commodity, the Price Control Act is of no consequence as far as that commodity is concerned. As far as petroleum products are concerned, no price has been fixed in respect thereof by the Price Control Board.

‘’The removal of subsidy on petroleum products therefore is not limited, affected nor impacted in any way by the Price Control Board Act.”