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Buhari sends 2022 supplementary budget to NASS, to spend N2.557 trillion on fuel subsidy

President Muhammadu Buhari has transmitted the 2022 Appropriation Act (Amendment) bill to the National Assembly.

In the amendment proposal sent to the legislature, the President earmarked the sum of N2.557 trillion for fuel subsidy following the suspension of the implementation of the policy by the federal government.

The amendment to the budget is contained in a 6-page letter sent to both the Senate and the House of Representatives on Tuesday, February 15, 2022.

Senate President Ahmad Lawan and Speaker of the House of Representatives Femi Gbajabiamila read the letter in their respective chambers during plenary.

The president in the letter is seeking approval from the National Assembly for the sum of N2.557 trillion supplementary budget for petrol subsidy from July 2022 to December 2022, as the federal government has made a U-turn on its plan to stop the subsidy by June.

In the letter, President Muhammadu Buhari said the amendment is necessary to accommodate some issues in the country including the suspension of the Petroleum Subsidy removal, which he said must be considered.

Other key highlights of the bill

Some of the key highlights of the 2022 appropriation amendment bill include asking the National Assembly to review the Finance Act 2021, to restore the provisions made for various key capital projects in the 2022 Executive Proposal that were cut by the National Assembly and to reinstate the N25.81 billion cut from the provision for the Power Sector Reform Programme in order to meet the Federal Government’s commitment under the financing plan agreed with the World Bank.

Others are to reinstate the 4 capital projects totalling N1.42 billion in the Executive Proposal for the Federal Ministry of Water Resources that were removed in the 2022 Appropriation Act, restoration of the N3 billion cut from the provision made for payment of mostly long outstanding Local Contractors’ Debts and Other Liabilities as part of our strategy to reflate the economy and spur growth (see Schedule I), amongst others.

What you should know

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