The Senate on Monday settled for $52 per barrel as oil price benchmark for the N4.3trillion 2015 budget estimates as against $65 per barrel earlier fix, it was gathered last night.
The decision came up during a closed door session of Senators.
Competent sources told journalists after the closed door meeting that the very important budget parameter was fixed to ease the work of the various senate committees in their interface with ministries, departments and agencies during budget defence.
A source said the $52 per barrel was arrived at on an account that the current price of oil in the international market is between $60 to $62 now.
President Jonathan had through three different Medium Term Expenditure Framework (MTEF) and Strategy Paper documents, forwarded to the National Assembly between September and December last year, proposed $77, $73 and $65 per barrel as oil price benchmark.
Other parameters proposed in the budget as submitted by the executive, are projected oil production of 2.2782 million barrel per day and average exchange rate of N165 to a US dollar as against the current exchange rate of N199 to a US dollar.
The source explained that the law makers were doubtful of the feasibility of the budget based on the oil price reality at the international market.
“Decision will soon be made public,”
13 recommendation were made in the budget
