tactius:


What I want to hear from Buhari is an announcement that marketers would be setting the price of fuel...not government.

Yes, by the following day, the price of fuel would be N250 and above. Yes, PEOPLE would suffer.

But investment would flow in, because now with the new regimen, there would be profits to be made. And these prifits would be reinvested in increasing refining capacity and more jobs. Plus, all the money poured into subsidy would be saved...and poured into railways and educaiton and health.

And eventually prices will fall.

Oil is at $80 .Nigeria needs it at $140 to run a balanced budget. We don't have the money, we have heavy debts due to the crash of oil prcies in 2016 to below $50...and we are taking on debts to stay afloat. We have no choice. Subsidy must go.

Lols..Dis ur quote sef..Are u the petroleum minister?Buhari is heading nnpc to the right direction.I believe he will do sumtin he is a man of integrity

mycar:

If the price increased to your projected amount, what do you think would happen to the fixed income earners when inflation hits?
Everything will go up and we will be worded than we were, if you are true to yourself, you should be advocate of let the refineries work and not let the price of PMS go up.

Should your prayer be answered, I will remind you of it when things go awry.

The thing is subsidy is preventing the generation of the profits and investment needed to increase refining capacity.

Once you get that, you would see why it has to go.

Plus, if poor countries like Niger and benin pay higher...and they are poorer than we are, why shouldun't we?

The truth is, the whole subsidy thing is not fit for purpose.

Most of those advocating for subsidy removal are brainless GEJ sycophants from the east. Which economy will foot the bill when gov cancels subsidies? Our dwindling cacophony? Do these facking idiots not realise that other than fuel, every other commodity will adversely increase in cost?

You guys need to give it a break...Your plot is way too obvious.

With high crime rate, can Nigeria afford even 1 naira increase? Do you facking idiots, selfish traitors want people to starve to death??

The gov has to continue paying fuel subsidies even if 1 naira remains in the bank.

The more reason why we need solar solutions now.

With solar solutions in place, let me see how FG, marketers, subsidy racketeers and suchlikes, will beg the sun not to shine.

tactius:


Depot price now N139

And we expect marketers to keep on selling at N145?? Even with subsidy.?

Landing cost now N205

Subsidy has to go. Niger Republic, they pay N397 for fuel. Benin Republic pays N298 per liter. Time we in Nigeria faced the cold reality. We should have allowed GEJ to remove subsidy in 2012...but we refused. Now...we are in the non-sustainable mode. Our debt is growing. Something has to give.

If subsidy is removed will the price just float? Or who will determine the pump price, and via what metrics?

Even if fuel is sold at N250 like someone here suggested already, there still exists a margin between that figure and pump price in neighbouring countries and unscrupulous marketers and smugglers would still divert products. It's obvious we don't consume more than half of what we buy, the difference just ends up in the pockets of unpatriotic Nigerians.

So do we simply price above our neighbours (in order to discourage smuggling) and kill our economy? SMEs cannot function unless they run private generators, our transport system (and prices of all goods and services) depends directly on the price of gasoline.

This is more of a system problem. Nigeria is like a patient on IV fluids (subsidy). Remove the IV line and watch your patient expire before your very eyes. . .

Refineries should start working then subsidy removal can come in.
After all APC government increased fuel price and told us there is no more subsidy.
Later we hear the government has been paying subsidy.
What's the probability that the price will be increased and later in the year we hear that subsidy is still being paid.
First of all let our refineries be working before removal of subsidy.

tactius:
The truth is, NNPC better face facts. Buhari better face facts, and Nigerians better face facts.

Nigeria cannot afford subsidy. Landing cost is N205, we expect depot to sell at N139...and marketers to sell at N145 per liter?

What kind of confusion is this.

Subsidy must go. Yes, we will pay N200-300 for fuel.Yes, the government is composed of evil people who have looted and defrauded Nigerians for ages. Yes, I am an insensitive person , Yes, the World Bank wants to shortchange Nigerians

But how can we run a system that makes the downstream sector run at a loss...and then start crying when sharp practices like smuggling, inflation, etc happen?? Because marketers are businesspeople. They have to make money. Subsidy does not allow them make a profit.

Once subsidy goes, all those evil marketers will make huge profits...but foreign investment will flow in, jobs will flow in, government will save money, and more refineries would be built, and EVENTUALLY...prices will come down.

Let's be real. Cheap fuel is wrecking our economy.

Don't deceive yourself. Even if it's sold for 1k per litre, this evil APC Government with Buhari at the helm will never create jobs or build refineries. They are depending on Dangote, a private individual to do their own job for them. Forget about foreign investment also, just keep calm and enjoy your Next Level on God Mode.

tactius:


What I want to hear from Buhari is an announcement that marketers would be setting the price of fuel...not government.

Yes, by the following day, the price of fuel would be N250 and above. Yes, PEOPLE would suffer.

But investment would flow in, because now with the new regimen, there would be profits to be made. And these prifits would be reinvested in increasing refining capacity and more jobs. Plus, all the money poured into subsidy would be saved...and poured into railways and educaiton and health.

And eventually prices will fall.

Oil is at $80 .Nigeria needs it at $140 to run a balanced budget. We don't have the money, we have heavy debts due to the crash of oil prcies in 2016 to below $50...and we are taking on debts to stay afloat. We have no choice. Subsidy must go.

the problem is nigerian marketers are greedy morafvckers....

you would be surprised how deep the philosophy of get rich quick is in the hearts of nigerians....

dont cry then when you end up payin 400naira per liters....

tactius:


Depot price now N139

And we expect marketers to keep on selling at N145?? Even with subsidy.?

Landing cost now N205

Subsidy has to go. Niger Republic, they pay N397 for fuel. Benin Republic pays N298 per liter. Time we in Nigeria faced the cold reality. We should have allowed GEJ to remove subsidy in 2012...but we refused. Now...we are in the non-sustainable mode. Our debt is growing. Something has to give.

Buhari removed subsidy in 2016. So he should be the one to explain what's happening.

i wouldnt put trust in free market when nigerians are involved....

na so food stuff for idp people was sold on the streets....

dont underestimate the greed of nigerians....

mycar:

If the price increased to your projected amount, what do you think would happen to the fixed income earners when inflation hits?
Everything will go up and we will be worded than we were, if you are true to yourself, you should be advocate of let the refineries work and not let the price of PMS go up.

Should your prayer be answered, I will remind you of it when things go awry.

Exactly. Subsidy problem is just symptomatic of deeper, more grievous disharmonies within the Nigerian system.

So many things are wrong with this country, if subsidy is hastily removed the entire system might just collapse. Even Buhari, for all his faults, understands how delicate this subsidy palaver has become.

tactius:


Depot price now N139

And we expect marketers to keep on selling at N145?? Even with subsidy.?

Landing cost now N205

Subsidy has to go. Niger Republic, they pay N397 for fuel. Benin Republic pays N298 per liter. Time we in Nigeria faced the cold reality. We should have allowed GEJ to remove subsidy in 2012...but we refused. Now...we are in the non-sustainable mode. Our debt is growing. Something has to give.

do you think Nigerians are rational thinkers... sentiment and tribalism will becloud their judgement.

Mobsync:


Buhari removed subsidy in 2016. So he should be the one to explain what's happening.

No he did not...because the government was still setting the price.

At the time he removed subsidy.,..landing cost was N132, and fuel was being sold at N87. Revenues from oil had fallen.

There was no money to subsidze fuel at that point...so prices were raised to N145 'ending subsidy' (which I did not believe in..because govt was still setting prices, as I have said).

The minute landing costs shot above N145...government came back with 'underrecovery' (subsidy by another name).

Had Buhari really removed subsidy....by now fuel would be above N200

grandstar:


That price coming down is a partial myth. Every other thing you said was in order.

Many argue that with the introduction of GSM telephony, call prices which were quite high initially but with huge investment and competition, call rates have come down dramatically. Well said.

However, while calls are a service, petrol is a product. You can price a service anyhow you want, even give it out free as long as you can cover overheads and running cost and still make a profit.

The chrome browser is given out free by Google. It makes it money through pay per click advertising when one carries out search on Google. It reportedly made $11b in profits in a fiscal year.

A law firm may handle a case free, another 10m for the same case.

For a product however,it is different. You can't buy petrol at 205 and sell at 195. Remember that the prices of petrol and so on are set internationally. So if the price doubles on the international market, Dangote won't reduce his price

Look at the price of diesel. The price is deregulated. Has that brought down the price?

Dangote has said that his refinery will save Otedola N26 per litre, that is all things being equal.

About investment, what you said is spot on. There'll be massive investment in the downstream sector and lits of jobs creates. Dangote refinery will employ about 8,000 engineers. There will also be multiplier effects

Spot on

Dem don start again.

tsdarkside:


the problem is nigerian marketers are greedy morafvckers....

you would be surprised how deep the philosophy of get rich quick is in the hearts of nigerians....

dont cry then when you end up payin 400naira per liters....

Yes, I know they are greedy, but so are most businessmen. They entered the business for the Lincolns and the Benjamins, not to be Mother Theresa for you guys.

On a serious note...the fact is, subsidy means that most marketers and NNPC lose at least N60 per liter of fuel sold...and don't make a profit.

Many of them make ends meet by

1.Smuggling fuel to Niger and Benin...where fuel is above N200, and earn a tidy profit

2.Inflating subsidy claims (though Buhari cut that one by making NNPC sole importer)

On the other hand...if fuel goes up to N400...yes, I would cry, BUT....the profits raised will attract investment into things like refineries...which means increased refining at home, and eventually prices dropping.

Niger by the way pays N397 per liter for fuel...and they are poorer than we are. Benin pays N298. I asked Google.

Again, business is about greed. The minute you realize that the better.You'll sleep better at night.

tactius:


The truth is, most Nigerians don't want to pay higher for fuel.

But the thing is, even as early as 1993, subsidizing fuel has been unsustainable. The problem is, the minute you propose complete removal, you are either an imperialist, or you want to make Nigerians suffer.

The truth is, subsidy prevents the downstream sector from making a profit, which is why we don't have cash for new refineries, cash to fix exisiting refinereis, and cash to make things better. And investment is restricted...because who wants to invest under a system where government is controlling prices?

Economics 101...government should not be controlling prices.

The thing is, APC is going to do what governments have done in the past...either funnel more money we don't have to sustain subsidy, or increase prices by N10-20 , which would work for a year...until increased landing costs make it impractical.

Let's be real. Subsidy has to go. Yes...hardship...but the new jobs, profits, savings , investment, infrastructure...worth it.

There are steps to look at before spiking prices like that..

Your unemployment is at 22m million working population and 90m destitute poor already, increase in price would increase cost of living and the number goes to 120m or 130m of 200m population and unemployment goes to 30 to 35m.

Before all these positives you alleged takes place, would you still be able to manage a country with such alarming figures above?

- Would you be able to manage the crime rate?
- Would you be able to manage the out of school children?
- Would you be able to manage the spike in terrorism?

plz I need a job anywhere in Lagos, am a graduate of business administration and management HND level,I finish serving last year October and am currently running my chartered institute of personal management [CIPM] course... plz any opening anywhere in Lagos plz reach out to me....Here is my mail michealclo71@gmail.com...08028489326

tactius:
The truth is, NNPC better face facts. Buhari better face facts, and Nigerians better face facts.

Nigeria cannot afford subsidy. Landing cost is N205, we expect depot to sell at N139...and marketers to sell at N145 per liter?

What kind of confusion is this.

Subsidy must go. Yes, we will pay N200-300 for fuel.Yes, the government is composed of evil people who have looted and defrauded Nigerians for ages. Yes, I am an insensitive person , Yes, the World Bank wants to shortchange Nigerians

But how can we run a system that makes the downstream sector run at a loss...and then start crying when sharp practices like smuggling, inflation, etc happen?? Because marketers are businesspeople. They have to make money. Subsidy does not allow them make a profit.

Once subsidy goes, all those evil marketers will make huge profits...but foreign investment will flow in, jobs will flow in, government will save money, and more refineries would be built, and EVENTUALLY...prices will come down.

Let's be real. Cheap fuel is wrecking our economy.

Look at you, just look at your mindset, this is one of the main reasons Nigeria is in chains, slaves to the political class. Your idea keeps us down the path of national slavery and poverty for the masses, while a few elite keeps doubling their wealth and become multi-billionaires. THE ONLY FACTS WE NEED TO FACE IS THAT Nigeria has no business importing oil, we are an oil producing country goddamit, a major oil producer, we have no freaking business importing oil. IT is because of oil importation that we have this subsidy scam of a thing running, that have turned some few people to mega billionaires while the masses suffer. The only fact we have to face is for us to cancel or ban fuel importation in this country and start refining the oil we need by ourselves, so we can sell at a fair rate that won't even be up to this current amount of 145/liter. Both NNPC, FG, oil marketers etc have been running the biggest scam in this country for too long. They sabotaged all our refineries intentionally. But you people can't see that. Too bad!

BanevsJoker:

Don't deceive yourself. Even if it's sold for 1k per litre, this evil APC Government with Buhari at the helm will never create jobs or build refineries. They are depending on Dangote, a private individual to do their own job for them. Forget about foreign investment also, just keep calm and enjoy your Next Level on God Mode.

Ah, it isn't government's business to create new refineries(why do you think Atiku was saying NNPC should be sold??)...and the fact that you are even saying 'Buhari would create refinery' shows you did not get my comment.

If prices go up, all government gets is to save the money they would have spent on subsidy (How they use it is up to you...democracy is hard work!).

PRIVATE investment is going to increase, as private investors would now be attracted by the fact that there is money to be made. This means more refineries...because now, one can refine and sell fuel in Nigeria AT THE PRICE WE WANT. Eventually the market does its thing and prices crash.

MobilityExpress:


Look at you, just look at your mindset, this is one of the main reasons Nigeria is in chains, slaves to the political class. Your idea keeps us down the path of national slavery and poverty for the masses, while a few elite keeps doubling their wealth and become multi-billionaires. THE ONLY FACTS WE NEED TO FACE IS THAT Nigeria has no business importing oil, we are an oil producing country goddamit, a major oil producer, we have no freaking business importing oil. IT is because of oil importation that we have this subsidy scam of a thing running, that have turned some few people to mega billionaires while the masses suffer. The only fact we have to face is for us to cancel or ban fuel importation in this country and start regimental the oil we need, so we can sell at a fair rate that won't even be up to this current amount of 145/liter. Both NNPC, FG, oil marketers etc have been running the biggest scam in this country for too long. They sabotaged all our refineries intentionally. But you people can't see that. Too bad!

We are importing oil because subsidy prevents profits being made...and fuels the sharp practices like smuggling and inflation.

If prices go up, profits are made...which attracts more investment leading to more refineries...BUILT WITH PRIVATE MONEY....and the government saving money instead of spending it on subsidy...and which leads to prcies crashing.

Everyone benefits.

Saudi Arabia does not import oil, Iran does not import oil, the UAE does not import oil, they are oil producers, and they refine their own oil, look at their economy today, incredibly buoyant. But we fell into the oil importation scam business, our rogue officials and rogue business men in collaboration with western companies and some western governments and they have kept us in the chains of slavery to oil importation to amass wealth for themselves while the masses continue to perish. May God judge all those that are running this terrible importation and subsidy scam in this country

tactius:


We are importing oil because subsidy prevents profits being made...and fuels the sharp practices like smuggling and inflation.

If prices go up, profits are made...which attracts more investment leading to more refineries...BUILT WITH PRIVATE MONEY....and the government saving money instead of spending it on subsidy...and which leads to prcies crashing.

Everyone benefits.

No, we are importing oil because they sabotaged all our refineries to stop producing optimally. We are importing oil till today because after some elite crooks tasted the oil money and it was mega huge, they knew they had found the new jackpot, the new goose that lays the golden egg, that will make all of them billionaires. And it did, the oil importation business made many of the elite billionaires. Check their history. Nigeria is a big mess. We worship our oppressors.

GidiWoodsMan:


If subsidy is removed will the price just float? Or who will determine the pump price, and via what metrics?

Even if fuel is sold at N250 like someone here suggested already, there still exists a margin between that figure and pump price in neighbouring countries and unscrupulous marketers and smugglers would still divert products. It's obvious we don't consume more than half of what we buy, the difference just ends up in the pockets of unpatriotic Nigerians.

So do we simply price above our neighbours (in order to discourage smuggling) and kill our economy? SMEs cannot function unless they run private generators, our transport system (and prices of all goods and services) depends directly on the price of gasoline.

This is more of a system problem. Nigeria is like a patient on IV fluids (subsidy). Remove the IV line and watch your patient expire before your very eyes. . .

OK...let's back up a bit

Where are we getting the money to fund subsidy? Oil revenues

What is the price of oil now? $70.

What is the price we need oil to be at to have a balanced budget? $140 according to Fitch.

So right now, we are borrowing to survive, and we are borrowing at a rate that the IMF says is crazy. We also are having to save money to rebuild our forex reserves

And you expect , under these circumstances, to keep on having money for a subsidy monster that is eating billions on a daily basis?

We don't have IV fluid. That's the problem.

tactius:


Yes, I know they are greedy, but so are most businessmen. They entered the business for the Lincolns and the Benjamins, not to be Mother Theresa for you guys.

On a serious note...the fact is, subsidy means that most marketers and NNPC lose at least N60 per liter of fuel sold...and don't make a profit.

Many of them make ends meet by

1.Smuggling fuel to Niger and Benin...where fuel is above N200, and earn a tidy profit

2.Inflating subsidy claims (though Buhari cut that one by making NNPC sole importer)

On the other hand...if fuel goes up to N400...yes, I would cry, BUT....[b]the profits raised will attract investment into things like refineries...[/b]which means increased refining at home, and eventually prices dropping.

Niger by the way pays N397 per liter for fuel...and they are poorer than we are. Benin pays N298. I asked Google.

Again, business is about greed. The minute you realize that the better.You'll sleep better at night.

you seem to dont understand how greedy nigerians actualy are....

goverment gives alocations and things are still not done...governors rather bunker the money or show off without shame....

dont try it with nigerians,you will regret it....

i get you,ofcourse a business want to make profit too....i understand that....

but nigerians greed for money is absurd....

MobilityExpress:


No, we are importing oil because they sabotaged all our refineries to stop producing optimally. We are importing oil till today because after some elite crooks tasted the oil money and it was mega huge, they knew they had found the new jackpot, the new goose that lays the golden egg, that will make all of them billionaires. And it did, the oil importation business made many of the elite billionaires. Check their history. Nigeria is a big mess. We worship our oppressors.

No, NNPC cannot make enough money to keep our refineries in good shape because they import oil , sell it to marketers below the market price, and then get paid the difference between the market price and cannot make a profit.

And the corruption and sabotage happens because when you are not making money, you look for sly ways to make money.

If subsidy goes...all the sabotage and corruption will end. Because....continuing with that would make things worse for them (unlike now where thanks to being a government company they get free money whatever happens).

And of course...there is foreign investment, more profits and more jobs (Those cabals would EARN MUCH MORE under subsidy removal)

And eventually, prices would come down.

Win, win