amtaken:
Are you saying thaat Buhari never promised to make fuel price N50 per litre?

In your dreams right?.... Probably if I say Buhari will build 10 refineries, you will come back in 1 year and say, "Buhari said he would build 10 refineries"?

Dottore:
Well full deregulation means immediate hike in price and accompanying hardship for an average citizen but on the long run,

competition would make PMS to sell lower than present government approved pump price especially if more licenses to market petroleum products are issued to interest parties.

. My opinion though judging from what is seen amongst Telecommunications Operators

i just pray it is deregulated... all this fuel wahala will stop... fuel can even sell below N80 if there is serious competition..... i just pray... we will just feel the pain now... but by the way for the past one month i have been buying fuel for N150 to N200 per liter...

MetaHuman:
and I'm asking how deregulation would wave magic wand and make these problems go away?

Marketers and dpr are the ones that would make deregulation work, but then how is that gonna happen with the current crop of marketers and DPR that we have right now?

The entire point about deregulation is that anyone will be able to go into marketing or other aspects of the business, just like anyone can become a retailer, anyone can start a transport business, etc. Instead of relying on the good will of a few marketers, the pressure of competition will do the work of forcing prices down - those who don't want to offer lower prices will see their customers disappear, and go out of business.

Well, fuel has actually been selling for between N250 & N150 per liter here in Lagos. The last time I bought fuel at N86.50 was January so no big deal. N120 - N125 wont kill us. My only fear is that the industry is run by a cartel who will peg prices and create artificial scarcity just so their pegged price will remain valid.

In any case though, Nigerians have thick skin and we will survive.

Okijajuju1:



De-regulate = Removal of regulations

DPR would no longer be checking Prices, allocation and all that fhuckery. All they will be bothered with is quality checks at the ports.

Marketers would be free to set a mark-up on their products and sell.

No more Subsidy regime which had alot of room for corruption.

Marketers will not have the need to hoard products to cause artificial scarcity that drives prices up.



If it worked with Diesel (forcing down the price of Diesel from 165 Naira per liter to 125 - 135 per liter).. It will work with PMS.

there would still be price control.
But there won't be fixed price like we have now. That's how deregulation works.
Just like in telecoms, there is price control. Ncc won't allow mtn to reduce the price of its calls to certain amount or increase it to certain amount.

Question is, can same thing happen in petroleum sector that we have many players? Even most of the regulators are marketers.

I don't know where you bought your own diesel at 130.., but I still bought mine 165 today in Ibadan.. The lowest have bought diesel is 155.
Plus you can't compare diesel with petrol, how many people use diesel self?

John snow no longer lord of castle black.

Okijajuju1:
I support..


I am already buying fuel for 120 a liter in Port harcourt.

At one point I was paying 240/ liter.


Deregulate the fhucking thing and let market forces determine the prices.

LOL. The way "market forces" have determined the price of diesel, right?

Look, if you're buying fuel at N120 now in PH, after deregulation, at some point you will buy it for N400. The downstream sector of the petroleum industry (especially the marketing arm) is not a free market. It is controlled by a cartel. The marketers ARE the cartel. They will conspire to hoard products periodically and raise the prices to astronomical levels.

Nigerian government lacks the capacity or even the will to ensure and enforce a truly free market in this sector. A government (DPR) that cannot sanction fuel marketers who sell above the regulated price or who illegally manipulate their fuel pumps to under dispense fuel, how can such a useless government ensure fair practice in a deregulated regime?

This will end up as a hot mess for the poor Nigerian. Mark my word.

I support d move. Let market forces decide

omohayek:


The entire point about deregulation is that anyone will be able to go into marketing or other aspects of the business, just like anyone can become a retailer, anyone can start a transport business, etc. Instead of relying on the good will of a few marketers, the pressure of competition will do the work of forcing prices down - those who don't want to offer lower prices will see their customers disappear, and go out of business.

major point of deregulation is allowing marketers of petroleum products sell at the price they deem fit.

You can go into the marketing business before and nothing is stopping you.

I don't insult people but Nigerians deserve every insult they get. Slow, dull, ignorant people. Now that fuel had gone where it should go let me see any idiot talking about supporting the Naira. Wasted years and trillions trying to control petrol you do not produce, causing people to buy petrol at exhorbitant prices thus pauperizing them just to prove a point then caving in when they are economically wasted. I tell you, we deserve the kind of government we get, stupid people.

Hardship mode activated, Nigerians should prepare for the worst days.

hedonistic:


LOL. The way "market forces" have determined the price of diesel, right?

Look, if you're buying fuel at N120 now in PH, after deregulation, at some point you will buy it for N400. The downstream sector of the petroleum industry (especially the marketing arm) is not a free market. It is controlled by a cartel. The marketers ARE the cartel. They will conspire to hoard products periodically and raise the prices to astronomical levels.

Nigerian government lacks the capacity or even the will to ensure and enforce a truly free market in this sector. A government (DPR) that cannot sanction fuel marketers who sell above the regulated price or who illegally manipulate their fuel pumps to under dispense fuel, how can such a useless government ensure fair practice in a deregulated regime?

This will end up as a hot mess for the poor Nigerian. Mark my word.

Abeg go sit down. With subsidy are there not cartels in DPR. Let them open up the market to all. Petrol is just another commodity ANYBODY can import. Deregulation means deregulation.

folks4luv:
I know lotta Nigerians would have forgotten APC stood against Jonathan's plan to remove fuel subsidy in 2012. we have short memory, that's why we never learn.
price of products on a high side, many civil servants, esp local govt workers in some states have not received salary for more than 5months, yet all d govt could think of is to task citizens.
that's BTW, my problem with APC is making empty promises all to win election and my problem with Nigerians is believing every promises, even d unachievable ones.

Because we don't know where our money would end up . The right thing by the wtong people that we don't trust.

Okijajuju1:
I support..


I am already buying fuel for 120 a liter in Port harcourt.

At one point I was paying 240/ liter.


Deregulate the fhucking thing and let market forces determine the prices.

capitalism is not good o.

PiccoloBrunelli:


Kuku kill me! Stab me like Jon Snow!

Still waiting for PMB to tell us his tenure was a joke all along...that he really isn't the President...that Satan himself has been ruling us all this time and we didn't know it...

better comit suicide, becos nothing anybody can do about it. God bless pmb

eddyroyal:
capitalism is not good o.

what do you mean by that statement and back it up with facts

Reference:
I don't insult people but Nigerians deserve every insult they get. Slow, dull, ignorant people. Now that fuel had gone where it should go let me see any idiot talking about supporting the Naira. Wasted years and trillions trying to control petrol you do not produce, causing people to buy petrol at exhorbitant prices thus pauperizing them just to prove a point then caving in when they are economically wasted. I tell you, we deserve the kind of government we get, stupid people.

lol you don vex o

coldsummer:
Thank God I have my German passport. No stress


Continue to make Nigeria difficult for people to live in

All the best, but remember how we started. Ija de, Orin dowe

Lmao, we have entered it...

Bassee:
Buhari... the worst thing to happen to Nigeria 2015-2019. I only pity idiots who rushed to name their babies Buhari the moment they heard he won. They've just subjected those young ones to a life of eternal pain.

you wicked no be small

Lieing President

Osirimononaye:
And they said GEJ regime was clueless

gej was not only clueless, he is ineffectual buffoon, always allow his gang to rob us, that is how they rob of 2.6tr subsidy scam, and that is why we never allow gej to remove subsidy, we can now allow a trusted pmb to remove it now

So who said it?


Enough of the insults ok.

I went to A-Hall. Am not used to gutter language. Thanks in advance.

obailala:
In your dreams right?.... Probably if I say Buhari will build 10 refineries, you will come back in 1 year and say, "Buhari said he would build 10 refineries"?

bigboss80s:
This should have been done a long time ago but everything get politicised in this country. Buhari wants to do it now but APC condemned it when GEJ was in power.
People cry about removal of subsidy but prefer to buy at N250 and above at black market. How stupid can people be?
Better late than never.

Your comment makes a lot of sense

amtaken:
So who said it?


Enough of the insults ok.

I went to A-Hall. Am not used to gutter language. Thanks in advance.

Buhari did not say that, simple!.. get your facts right next time. By the way, I dont remember using any insults.

It has become evident now that Buhari is getting serious about governance. Like reformists, they must find the courage to administer the bitter pills this country needs to survive.

Next to be scrapped should be the conditional cash transfer of 5K to a category of people.

GEJ is truly the chosen one. When he tried deregulating he was castigated. PMB knew it wuld come to this nd has delayed it to the outmost stretch. God bless Naija

Buhari said it during his campaign.

Go check APC Campaign promises.


Bye.

obailala:
Buhari did not say that, simple!.. get your facts right next time. By the way, I dont remember using any insults.

amtaken:
Buhari said it during his campaign.

Go check APC Campaign promises.


Bye.

Provide evidence?... how come it's only you who heard this special campaign speech?

asha80:
what do you mean by that statement and back it up with facts

When someone talks about"the forces of demand and supply determining the prices of commodities"he/she is referring to one of the characteristics of Capitalism. Adam Smith who is the leading proponent to this economic system stressed that Government should concentrate on it primary role which is the maintenance of peace and order and,allow the forces of demand and supply ( ais also known as 'the invincible hand') determine the prices of commodities. One of the disadvantage of capitalism is that private owners of companies who are called capitalist by political economist are interested in maximizing their profits. This is done to the detriment of the poor masses. Some of us think that capitalism is a good thing. We have this conviction that when the forces of demand and supply determine the prices of commodities,the poor masses will benefit. This notion is a total fallacy. There are some questions we need to ask when talking about the forces of demand and supply determining the prices of commodities. Some of this questions among others are (1)For how long will it take the forces of demand and supply to determine the prices of commodities?(2)When this price is finally determine by this forces,will it be favorable for a common man? For instance if the price of fuel is pegged at N400 by the forces of demand and supply,will the poor masses be able to afford this.

obailala:
Provide evidence?... how come it's only you who heard this special campaign speech?

Buhari’ll reduce petrol to N40/L —David-West On April 14, 20156:19 amIn Energy0 Comments By Ediri Ejoh FORMER Minister of Petroleum and Energy, Prof. Tamunoemi David-West, said that Nigerians should expect sharp drop in petrol price from the current N87 to about N40 per litre, saying, “the president-elect, Gen. Mohammed Buhari, will reduce the fuel pump price to N40 per litre.” •Buhari In a telephone interview with Vanguard, the former minister argued that Nigeria produces millions of barrels of crude oil daily, and if properly harnessed will boost the performance of the industry. His words: “I want to assure you that by the time he takes over, petrol will be dispensed at N40 per litre. This is possible and he has the credibility to make it work. The major assignment of the president-elect when he is eventually inaugurated is to restore confidence to the industry. He noted that the president-elect is familiar with the petroleum industry, adding that he is a straight forward person that has respect for democratic principles. “As military head of state, he dealt with the Federal Executive Council with the tenets of democracy. Buhari will build new refineries to make petroleum products available for the masses. No responsible government will allow the masses to suffer. “He will strengthen the refineries within a year. It is possible as we won’t spend any amount in setting up a green field refinery. We already have a blueprint as we shall use what we have to get what we want,” he added. He further stated that on many occasions, the president – elect had disclosed that the subsidy initiative is a fraud which has distorted the progress expected in the sector. He is also said to have frowned at the spate of corruption, which has characterised the subsidy regime to include the trillions of Naira spent on both Petrol and Kerosene subsidy within the past few years, thus inhibiting efforts to properly carry-out the Turn Around Maintenance TAM, for the refineries. He added that on countless occasions, he had argued that the country is forced to pay for scam carried out by oil cartel. Also contributing, a UK-based economic analyst, Mr. Seyi Odetola, noted that the president-elect has expressed doubts on the credibility of the subsidy claim. He added that there may be the need to investigate the several claims made by marketers, which will further reinforce his earlier submission on the subsidy claim. According to him; “The fact that most filling stations in the country are now dispensing petroleum products after the presidential election, despite the threat by major oil marketers to stop selling the product, in view of the subsidy arrears owed to them by the Federal Government, indicated that most of the marketers have been benefiting from the fraud. Removal ofsubsidy He argued that “Where did they get funds to import the product, given the nature of the forex? If after the presidential election fuel is still available as if nothing had happened, it is then apparent that there is no fuel subsidy. “It would be difficult for him, to unitarily remove subsidy without the proper consideration of the plight of the major players in the sector. He will need to re-appraise the cause of inefficiency of the sector.” He further hinted that the president-elect, with his pedigree and respect for the rule of law, will completely phase out importation by the time the local refineries are working. This, according to him, will totally remove subsidy, adding that subsidy as it is presently constitutes the promotion of corruption and impunity. “I am optimistic that the president-elect will look into the subsidy regime as soon as he finally settles down for the business of governance. He stressed that renewed attention will be given to the revamping of the four refineries as well as focus on the construction of new ones.” He concluded that “In the long term, through the confidence that will be restored in the downstream and upstream sectors, investors will be encouraged to do business which will stimulate the growth from the level it is. On his part, the Director, Strategic Planning, Research Intelligent, Mr. Olubunmi Martins, argued that the subsidy regime is riddled with corruption, a sign post of the present administration. He said the challenge before the industry is the gradual restoration of the local refineries, which will take care of the local consumption for petroleum products. He insisted that if activities at the various refineries are up scaled up, subsidy will no longer be a major concern in the country. He however urged the president-elect to scrutinise the various marketers, as most of the companies were floated solely for the sake of benefiting from the subsidy regime, thereby snowballing into cartels that have held the sector back. Olubunmi maintained that subsidy has distorted all the major economic activities that should have taken place in the country. “I am still at a loss with the concept of the whole subsidy, what is being subsidised and who are the beneficiaries? But it will be unwise for the president-elect to remove the subsidy immediately he takes over the mantle of leadership, as such an action could force him into a trap set by the oil cabals. “Notwithstanding, Gen. Buhari will have to do a complete evaluation of the sector to properly understand areas of non-performance and take appropriate action,” he added.   YOU MAY LIKE

Read more at: http://www.vanguardngr.com/2015/04/buharill-reduce-petrol-to-n40l-david-west/

clemmonce:
i just pray it is deregulated... all this fuel wahala will stop... fuel can even sell below N80 if there is serious competition..... i just pray... we will just feel the pain now... but by the way for the past one month i have been buying fuel for N150 to N200 per liter...

Just like we have competition and price reduction in electricity generation after privatization. This is the same incoherent arguments some folk put up during agitation for privatization.