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Why Is Kerosene More Expensive Than Petrol ? - Politics (6) - Nairaland

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Re: Why Is Kerosene More Expensive Than Petrol ? by grandstar(m): 3:48pm On Aug 05, 2022
lonelygem:


God bless you. I'm surprised Nigerians dont research. Ive tried to educate people on several valuable use of Kero beyond domestic cooking, back then when I was at the Depot, even Government value Kero more than anything. A typical importer might not be able to import kero more than once or twice a year and same importer brings in PMS and AGO 3 times a week.

And at every point Kero is discharged through our cargo line, it's a matter 2 hours or less, you just must see NNPC barge anchoring around the jetty waiting for the Kero vessel to disembark for it to batt and load same kero.

Kerosene known as DPK is same product treated as ATK and used for all aircraft and airplanes to move.

Kerosene has more value than PMS and it is responsible for high cost of aviation tickets in Nigeria today. There is high demand for Kero because many importers dont bring in Kero due to high cost of maintenance on it's storage.

STORAGE AND MAINTENANCE
As an importer, everytime you bring in Kero, you start preparing to receive it like a week before it arrives which is unlike bringing in other white products.

There is a process of evacuation which involves opening of man holes on both sides, providing kits for maintenance team to go into the tanks that has concealed over 10 million PMS for over 6 years with PMS still in there..

We used to dress fully kitted with oxygen gas bottles on our back, with high pressure jets capable of throwing 5 adults off their feet.

God forbid you miss your step and your gas cylinder or mask goes of, before you crawl your way back to the Manhole, you might have give up the ghost.

So, on average, importers spend about 6 Million for storage of DPK. And the process takes a whole week which is not so in PMS and AGO

We dedicate tanks for various products. But not in a case of DPK that you bring in just once in 4 years. In that case, whenever you are bringing in DPK, you must do thorough evacuation which would even make you lose about 8000 litres of the initial product, make you contract evacuation and proper venting of the tank, and wait for DPR to come and confirm and sign that the tank is safe for storage.



Kerosene price, like that of diesel is deregulated. Price of petrol on the other hand is heavily subsidized by government.

2 Likes

Re: Why Is Kerosene More Expensive Than Petrol ? by lonelygem(m): 3:59pm On Aug 05, 2022
grandstar:


Kerosene price, like that of diesel is deregulated. Price of petrol on the other hand is heavily subsidized by government.

You are very correct. That is another contributing factor. But even back then, the conditions are the same, and we still can boost of moderation in the price of Kero, despote the deregulation.
Re: Why Is Kerosene More Expensive Than Petrol ? by Uncommonman5(m): 4:08pm On Aug 05, 2022
Because Nigeria as a country has the most wicked and unreasonable politicians and, the most greedy business owners that believes in "the rich get richer and the poor get poorer.
Re: Why Is Kerosene More Expensive Than Petrol ? by nightsaint(m): 4:11pm On Aug 05, 2022
It is a serious problem because before you know it they will start selling petrol as Kerosene. Everyone needs to be careful as he buys kerosene.
Adiob200:
Hearing the news that kerosene is #800 per litre, and petrol is #200..and demand for petrol is higher than kerosene.. Why is it like that?
Re: Why Is Kerosene More Expensive Than Petrol ? by SirWarlock: 4:25pm On Aug 05, 2022
justmondris:
The question is why are you still using Kerosene in 2022 for cooking even when it’s still very expensive.

Please Google about JIKOKOA QUALITY MODERN CHARCOAL STOVE. It’s smokeless and you can use it even in a modern kitchen. It’s only requires a very small amount of charcoal, it’s very fast in cooking and it doesn’t stain the kitchen. You can order it on most e-commerce websites in Nigeria e.g Jumia.

well you'd still need kerosene to heat the coal cheesy
Re: Why Is Kerosene More Expensive Than Petrol ? by ITAMINI: 4:37pm On Aug 05, 2022
My advice is they should know that they're punishing the old men and women in the village. How on Earth
Re: Why Is Kerosene More Expensive Than Petrol ? by Fortune118005(m): 4:39pm On Aug 05, 2022
Immatex:

The real reason Kerosene is expensive is because it's the raw material for jet fuel.

Helicopters use Kerosene as fuel too.

Jet fuel is made from the Futher breakdown of Kerosene.

So Kerosene used for cooking is competing with Jets and Helicopters thus the high price.
How do they use Kerosene to produce jet fuel?
Please explain I want to learn
Re: Why Is Kerosene More Expensive Than Petrol ? by BluntCrazeMan: 4:49pm On Aug 05, 2022
Adiob200:
Hearing the news that kerosene is #800 per litre, and petrol is #200..and demand for petrol is higher than kerosene.. Why is it like that?
Search out for the meaning of SUBSIDY..
What you're going to find out, is the answer to your question..
Thanks

1 Like

Re: Why Is Kerosene More Expensive Than Petrol ? by SouthSouth1914: 5:26pm On Aug 05, 2022
2aces:
For clarity, cost of production involves all the processes a product pass through before it gets to the final consumer, that includes cost of storage. So if you do a little research on production cost on all three popular petroleum fractions, you will find out kero cost more than three times to produce than the closest.

I still disagree with your assertions. If you say cost of transportation and storage, I might think you have a point! Maybe it has not been subsidized, this is another point for it’s expensive price.

AGO and PMS go through the same processes, beats my imagination why someone would say “Cost of production” is the reason for Kerosene’s price!
Re: Why Is Kerosene More Expensive Than Petrol ? by Exkandayee(m): 5:34pm On Aug 05, 2022
lonelygem:


God bless you. I'm surprised Nigerians dont research. Ive tried to educate people on several valuable use of Kero beyond domestic cooking, back then when I was at the Depot, even Government value Kero more than anything. A typical importer might not be able to import kero more than once or twice a year and same importer brings in PMS and AGO 3 times a week.

And at every point Kero is discharged through our cargo line, it's a matter 2 hours or less, you just must see NNPC barge anchoring around the jetty waiting for the Kero vessel to disembark for it to batt and load same kero.

Kerosene known as DPK is same product treated as ATK and used for all aircraft and airplanes to move.

Kerosene has more value than PMS and it is responsible for high cost of aviation tickets in Nigeria today. There is high demand for Kero because many importers dont bring in Kero due to high cost of maintenance on it's storage.

STORAGE AND MAINTENANCE
As an importer, everytime you bring in Kero, you start preparing to receive it like a week before it arrives which is unlike bringing in other white products.

There is a process of evacuation which involves opening of man holes on both sides, providing kits for maintenance team to go into the tanks that has concealed over 10 million PMS for over 6 years with PMS still in there..

We used to dress fully kitted with oxygen gas bottles on our back, with high pressure jets capable of throwing 5 adults off their feet.

God forbid you miss your step and your gas cylinder or mask goes of, before you crawl your way back to the Manhole, you might have give up the ghost.

So, on average, importers spend about 6 Million for storage of DPK. And the process takes a whole week which is not so in PMS and AGO

We dedicate tanks for various products. But not in a case of DPK that you bring in just once in 4 years. In that case, whenever you are bringing in DPK, you must do thorough evacuation which would even make you lose about 8000 litres of the initial product, make you contract evacuation and proper venting of the tank, and wait for DPR to come and confirm and sign that the tank is safe for storage.


I don't know this I swear to God, thanks.... but please explain, where are they importing this Kero from
Re: Why Is Kerosene More Expensive Than Petrol ? by LARRYOBRAIN(m): 5:39pm On Aug 05, 2022
Almost the same as aviation fuel
Re: Why Is Kerosene More Expensive Than Petrol ? by Nobody: 5:40pm On Aug 05, 2022
SouthSouth1914:


I still disagree with your assertions. If you say cost of transportation and storage, I might think you have a point! Maybe it has not been subsidized, this is another point for it’s expensive price.

AGO and PMS go through the same processes, beats my imagination why someone would say “Cost of production” is the reason for Kerosene’s price!

It isn't just cost of production.

Government is still subsidising PMS. It stopped subsidizing AGO since 2013 as well as kerosene.

If government was no longer subsidising PMS, we would have been paying at least 500 Naira per liter of PMS
Re: Why Is Kerosene More Expensive Than Petrol ? by Taigaban: 5:41pm On Aug 05, 2022
twentyfivekobo:


1.I think you mean 2012

2.Government past and present have been advocating for deregulation since the 1980's....if not earlier.

3.The reason why it is still there is simple. Deregulation means Nigerians will pay higher for fuel.

4.That's why everytime deregulation has been brought up, Nigerians have always said no.

5.Government from time to time partially removes subsidy...which manifests as an increase in price, and which is why petrol has gone up from 15 kobo in 1981 to N175 today.

6. If states are allowed to 'become federating units'...taxes in most states will shoot up short term....and it is not just Northern states, every Southern state except the South South, Imo and Anambra....will end up exacting higher taxes in the short term

As for using resources...it works when the price of the resource you are selling is high enough to sustain your populaiton. Plus, if we want to make a living from either

1.Agriculture...we have to mechanize...and less than 10% of our farms are mechanized.

2.Minerals...the same thing.

3.Concerning one and two...prices can fall...which is why African countries that rely on them are also, like Nigeria, heavily in debt to the IMF and World Bank.

4.The only way states can prosper is for states to become manufacturing hubs...which means removing subsides on power so that electricity supply can attract more investment...meaning we get things like seprate powergrids, and more generation. (Nigerians have said no to deregulating power too).
6(1) It takes just nothing to mechanise agriculture in Nigeria, of which the government should take the lead. Why is it very difficult for Nigeria to produce common rice in excess for local consumption and exports? Yearly America produce rice in excess and over 30% of food is trashed yearly. Very sad that we produce only 10% of total Rice consume in Nigeria. Meanwhile this 10% is sand Rice despite all innovative technology used world wide. This is shameful. China manages their economy prudently despite a wooping population of 1.3billion people. This country's leadership has taken us back 100years and it's heading towards total collapse.
Re: Why Is Kerosene More Expensive Than Petrol ? by Okpetruth(m): 6:00pm On Aug 05, 2022
Subsidy has been removed since GEJ administration. Buhari removed diesel abd electricity subsidy. Hence the rise in price.
Re: Why Is Kerosene More Expensive Than Petrol ? by Wwwq: 6:25pm On Aug 05, 2022
Cos no one use it like that anymore
Re: Why Is Kerosene More Expensive Than Petrol ? by Snowx: 6:55pm On Aug 05, 2022
lonelygem:


God bless you. I'm surprised Nigerians dont research. Ive tried to educate people on several valuable use of Kero beyond domestic cooking, back then when I was at the Depot, even Government value Kero more than anything. A typical importer might not be able to import kero more than once or twice a year and same importer brings in PMS and AGO 3 times a week.

And at every point Kero is discharged through our cargo line, it's a matter 2 hours or less, you just must see NNPC barge anchoring around the jetty waiting for the Kero vessel to disembark for it to batt and load same kero.

Kerosene known as DPK is same product treated as ATK and used for all aircraft and airplanes to move.

Kerosene has more value than PMS and it is responsible for high cost of aviation tickets in Nigeria today. There is high demand for Kero because many importers dont bring in Kero due to high cost of maintenance on it's storage.

STORAGE AND MAINTENANCE
As an importer, everytime you bring in Kero, you start preparing to receive it like a week before it arrives which is unlike bringing in other white products.

There is a process of evacuation which involves opening of man holes on both sides, providing kits for maintenance team to go into the tanks that has concealed over 10 million PMS for over 6 years with PMS still in there..

We used to dress fully kitted with oxygen gas bottles on our back, with high pressure jets capable of throwing 5 adults off their feet.

God forbid you miss your step and your gas cylinder or mask goes of, before you crawl your way back to the Manhole, you might have give up the ghost.

So, on average, importers spend about 6 Million for storage of DPK. And the process takes a whole week which is not so in PMS and AGO

We dedicate tanks for various products. But not in a case of DPK that you bring in just once in 4 years. In that case, whenever you are bringing in DPK, you must do thorough evacuation which would even make you lose about 8000 litres of the initial product, make you contract evacuation and proper venting of the tank, and wait for DPR to come and confirm and sign that the tank is safe for storage.



God bless you for this Educative article

No wonder we have the most adulterated DPK that led some people to their early grave.
Re: Why Is Kerosene More Expensive Than Petrol ? by SouthSouth1914: 7:00pm On Aug 05, 2022
twentyfivekobo:


It isn't just cost of production.

Government is still subsidising PMS. It stopped subsidizing AGO since 2013 as well as kerosene.

If government was no longer subsidising PMS, we would have been paying at least 500 Naira per liter of PMS

Please read through my message well before quoting. You are saying the same thing that was stated in my message!
Re: Why Is Kerosene More Expensive Than Petrol ? by Harrynight(m): 7:01pm On Aug 05, 2022
lonelygem:


Insecurity has made air transportation the only safer way in our country.

Infact, a home that is rated to live on low income budget go extra mile to raise money for flight ticket whenever their children secure NYSC posting.

Many politicians are seriously working hard to secure aviation license for airline operation.

It is now very competitive and highly profitable.

Have you imagined the number of people who vowed never to travel via rail transportation after the last train attack?

I agree with u
Re: Why Is Kerosene More Expensive Than Petrol ? by Temidayo9(m): 7:44pm On Aug 05, 2022
lonelygem:


God bless you. I'm surprised Nigerians dont research. Ive tried to educate people on several valuable use of Kero beyond domestic cooking, back then when I was at the Depot, even Government value Kero more than anything. A typical importer might not be able to import kero more than once or twice a year and same importer brings in PMS and AGO 3 times a week.

And at every point Kero is discharged through our cargo line, it's a matter 2 hours or less, you just must see NNPC barge anchoring around the jetty waiting for the Kero vessel to disembark for it to batt and load same kero.

Kerosene known as DPK is same product treated as ATK and used for all aircraft and airplanes to move.

Kerosene has more value than PMS and it is responsible for high cost of aviation tickets in Nigeria today. There is high demand for Kero because many importers dont bring in Kero due to high cost of maintenance on it's storage.

STORAGE AND MAINTENANCE
As an importer, everytime you bring in Kero, you start preparing to receive it like a week before it arrives which is unlike bringing in other white products.

There is a process of evacuation which involves opening of man holes on both sides, providing kits for maintenance team to go into the tanks that has concealed over 10 million PMS for over 6 years with PMS still in there..

We used to dress fully kitted with oxygen gas bottles on our back, with high pressure jets capable of throwing 5 adults off their feet.

God forbid you miss your step and your gas cylinder or mask goes of, before you crawl your way back to the Manhole, you might have give up the ghost.

So, on average, importers spend about 6 Million for storage of DPK. And the process takes a whole week which is not so in PMS and AGO

We dedicate tanks for various products. But not in a case of DPK that you bring in just once in 4 years. In that case, whenever you are bringing in DPK, you must do thorough evacuation which would even make you lose about 8000 litres of the initial product, make you contract evacuation and proper venting of the tank, and wait for DPR to come and confirm and sign that the tank is safe for storage.


Simple question of simple answer you begin write essay. No subsidy on Kerosene and Diesel simple.
Ask yourself na today plane started using Kerosene that make it now expensive? Also diesel now expensive because No SUBSIDY on the two products.�
Re: Why Is Kerosene More Expensive Than Petrol ? by papamondico: 8:01pm On Aug 05, 2022
We should go back to fire wood level
Re: Why Is Kerosene More Expensive Than Petrol ? by Blackestjunior(m): 8:35pm On Aug 05, 2022
lonelygem:


God bless you. I'm surprised Nigerians dont research. Ive tried to educate people on several valuable use of Kero beyond domestic cooking, back then when I was at the Depot, even Government value Kero more than anything. A typical importer might not be able to import kero more than once or twice a year and same importer brings in PMS and AGO 3 times a week.

And at every point Kero is discharged through our cargo line, it's a matter 2 hours or less, you just must see NNPC barge anchoring around the jetty waiting for the Kero vessel to disembark for it to batt and load same kero.

Kerosene known as DPK is same product treated as ATK and used for all aircraft and airplanes to move.

Kerosene has more value than PMS and it is responsible for high cost of aviation tickets in Nigeria today. There is high demand for Kero because many importers dont bring in Kero due to high cost of maintenance on it's storage.

STORAGE AND MAINTENANCE
As an importer, everytime you bring in Kero, you start preparing to receive it like a week before it arrives which is unlike bringing in other white products.

There is a process of evacuation which involves opening of man holes on both sides, providing kits for maintenance team to go into the tanks that has concealed over 10 million PMS for over 6 years with PMS still in there..

We used to dress fully kitted with oxygen gas bottles on our back, with high pressure jets capable of throwing 5 adults off their feet.

God forbid you miss your step and your gas cylinder or mask goes of, before you crawl your way back to the Manhole, you might have give up the ghost.

So, on average, importers spend about 6 Million for storage of DPK. And the process takes a whole week which is not so in PMS and AGO

We dedicate tanks for various products. But not in a case of DPK that you bring in just once in 4 years. In that case, whenever you are bringing in DPK, you must do thorough evacuation which would even make you lose about 8000 litres of the initial product, make you contract evacuation and proper venting of the tank, and wait for DPR to come and confirm and sign that the tank is safe for storage.



Thanks for elaborating ...not all this one's shouting no subsidy

1 Like

Re: Why Is Kerosene More Expensive Than Petrol ? by justmondris: 9:12pm On Aug 05, 2022
SirWarlock:
well you'd still need kerosene to heat the coal cheesy
No problem. It only need a piece of paper to light up. Check it out on YouTube.
Re: Why Is Kerosene More Expensive Than Petrol ? by RapLawd(m): 10:09pm On Aug 05, 2022
Because in black market(Bunkery) Diesel/Gas and kerosene are 5and6... If you know you know���
Re: Why Is Kerosene More Expensive Than Petrol ? by Nobody: 10:46pm On Aug 05, 2022
SouthSouth1914:


Please read through my message well before quoting. You are saying the same thing that was stated in my message!

I did...you implied that the high price of kerosene was not just due to cost of production....if I got you right.

I basically agreed, and added that petrol costs less because subsidy.

If I was wrong, apologies.
Re: Why Is Kerosene More Expensive Than Petrol ? by SouthSouth1914: 11:21pm On Aug 05, 2022


I did...you implied that the high price of kerosene was not just due to cost of production....if I got you right.

I basically agreed, and added that petrol costs less because subsidy.

If I was wrong, apologies.

Common! No need for apologies. You and I were both right! Have a good night
Re: Why Is Kerosene More Expensive Than Petrol ? by Tonytonex(m): 11:57pm On Aug 05, 2022
SouthSouth1914:


I am sure you don’t even understand what you just wrote! Brainless people everywhere
why the insult?
Is it difficult for you to have a conversation without spewing trash?
Re: Why Is Kerosene More Expensive Than Petrol ? by SouthSouth1914: 12:05am On Aug 06, 2022
Tonytonex:
why the insult?
Is it difficult for you to have a conversation without spewing trash?

Not if someone is being a birdbrain!
Re: Why Is Kerosene More Expensive Than Petrol ? by ocelot2006(m): 4:12am On Aug 06, 2022
DPK equally used as aviation fuel. I guess that's why it's equally very expensive.
Re: Why Is Kerosene More Expensive Than Petrol ? by finnestdope(m): 5:53am On Aug 06, 2022
2aces:
That's because Kerosene is not only used in houses, its also used by planes as aviation fuel or jet fuel, thereby creating an increase in daily demand with limited supply, hence the high cost.
Secondly kero is more denser( heavier) than petrol and more refined than diesel, making the cost of production way more expensive than both.


Wooooo, never knew these.
Re: Why Is Kerosene More Expensive Than Petrol ? by bizzibodi(m): 7:06am On Aug 06, 2022
That is what will happen if jubril totally remove subsidy fro pms.
Re: Why Is Kerosene More Expensive Than Petrol ? by 1KOBONAIRA(m): 8:29am On Aug 06, 2022
lonelygem:


God bless you. I'm surprised Nigerians dont research. Ive tried to educate people on several valuable use of Kero beyond domestic cooking, back then when I was at the Depot, even Government value Kero more than anything. A typical importer might not be able to import kero more than once or twice a year and same importer brings in PMS and AGO 3 times a week.

And at every point Kero is discharged through our cargo line, it's a matter 2 hours or less, you just must see NNPC barge anchoring around the jetty waiting for the Kero vessel to disembark for it to batt and load same kero.

Kerosene known as DPK is same product treated as ATK and used for all aircraft and airplanes to move.

Kerosene has more value than PMS and it is responsible for high cost of aviation tickets in Nigeria today. There is high demand for Kero because many importers dont bring in Kero due to high cost of maintenance on it's storage.

STORAGE AND MAINTENANCE
As an importer, everytime you bring in Kero, you start preparing to receive it like a week before it arrives which is unlike bringing in other white products.

There is a process of evacuation which involves opening of man holes on both sides, providing kits for maintenance team to go into the tanks that has concealed over 10 million PMS for over 6 years with PMS still in there..

We used to dress fully kitted with oxygen gas bottles on our back, with high pressure jets capable of throwing 5 adults off their feet.

God forbid you miss your step and your gas cylinder or mask goes of, before you crawl your way back to the Manhole, you might have give up the ghost.

So, on average, importers spend about 6 Million for storage of DPK. And the process takes a whole week which is not so in PMS and AGO

We dedicate tanks for various products. But not in a case of DPK that you bring in just once in 4 years. In that case, whenever you are bringing in DPK, you must do thorough evacuation which would even make you lose about 8000 litres of the initial product, make you contract evacuation and proper venting of the tank, and wait for DPR to come and confirm and sign that the tank is safe for storage.




Wait,this is so precise.
What sector do you work in?
What's your job?

(Inquiring for educational purposes only)

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