galaxy2020:
See mumu, it took you over 7years as governor of Kaduna state to realise this?

clinician2x:


So removing fuel subsidy will stop the embezzlement is that your point?

Opinedecandid:


PMS that 10k gave me 41 litters this morning in Uyo? That's 240/litter

grandstar:


It will not birth hyper inflation.

Inflation will be one off.

What most people fail to realisw is that the prices of diesel and kerosene are already deregulated. There's no subsidy on them and no one has died.

How can more money be spent on subsidy than on education and health combined? It's food for thought.

IbeOkehie:
It's a pity Nigerians in general don't seem to understand their own country so how can they understand the particular political structures,
laws or economic policies that determine the outcomes.

I don't even know where to start so I'll just have to repeat something I posted on another thread on just one facet of the issue. MAYBE it will get people thinking more logically.

One of the popular beliefs in Nigeria is that refining petrol in Nigeria will make fuel cheaper, eliminating the need for subsidy. That is NOT true.

First of all fuel subsidies started in Nigeria back when the refineries were working, as far back as the 1970's. Back in 1984 the IMF was pleading with this same President Buhari to abolish fuel subsidies. Subsidy is a CHOICE.

Actually there's nothing wrong with importing petroleum products or even crude oil. Massive importation is a sign of prosperity. The USA is one of the largest producers of crude oil in the world and ALSO one of the largest importers of crude oil. In fact it's one of the largest importers of EVERYTHING you can think of. Just food is a good example, the USA is one of the greatest and most productive farming nations in history, yet it still imports massive amounts of food. And clothing, shoes, electronics etc.

Think about it. What if Nigeria has so many factories and transportation vehicles that it can't produce enough crude oil to satisfy the need inside the country?

Put another way, what if Nigerian general productivity is so much that our crude oil reserves can't satisfy the needs INSIDE the country? Nigeria will then have to import. It's logical, that's why the USA imports. The crude oil is used as a raw material to produce other things that are sold for profit. So the nation prospers.

Let's think through things properly before condemnation. I say it again, Nigerians are a funny people

IbeOkehie:
It's a pity Nigerians in general don't seem to understand their own country so how can they understand the particular political structures,
laws or economic policies that determine the outcomes.

I don't even know where to start so I'll just have to repeat something I posted on another thread on just one facet of the issue. MAYBE it will get people thinking more logically.

One of the popular beliefs in Nigeria is that refining petrol in Nigeria will make fuel cheaper, eliminating the need for subsidy. That is NOT true.

First of all fuel subsidies started in Nigeria back when the refineries were working, as far back as the 1970's. Back in 1984 the IMF was pleading with this same President Buhari to abolish fuel subsidies. Subsidy is a CHOICE.

Actually there's nothing wrong with importing petroleum products or even crude oil. Massive importation is a sign of prosperity. The USA is one of the largest producers of crude oil in the world and ALSO one of the largest importers of crude oil. In fact it's one of the largest importers of EVERYTHING you can think of. Just food is a good example, the USA is one of the greatest and most productive farming nations in history, yet it still imports massive amounts of food. And clothing, shoes, electronics etc.

Think about it. What if Nigeria has so many factories and transportation vehicles that it can't produce enough crude oil to satisfy the need inside the country?

Put another way, what if Nigerian general productivity is so much that our crude oil reserves can't satisfy the needs INSIDE the country? Nigeria will then have to import. It's logical, that's why the USA imports. The crude oil is used as a raw material to produce other things that are sold for profit. So the nation prospers.

Let's think through things properly before condemnation. I say it again, Nigerians are a funny people

Evolutionlove:


Here Is the problem with you evil and emptyhead beings. You mean no one has died from the exorbitant price of Diesel & Kero.

Do you know how many business that have folded up between december and now?

Do you know how many companies who have retrenched their staffs and also cut the salaries of the staff retained?

Do you know how many streets lights that have been off since december and now?

This Is Just few of many WOES people are going through. I for one Just discovered that kerosene Is now sold for N800. I almost got shivering. I Just wanted to use It for painting purpose.

iwaeda:


You know nothing about economics, refining here will take away cost of sending crudes abroad, eliminate transporting, shipping back and cost of freight to loading bays, customs illegal charges. Remove all these extra charges

nedu666:
Kerosene without subsidy 800 naira
Diesel without subsidy 830 naira
Fuel without subsidy...... u know the answer

IbeOkehie:


The cost of fuel is set on a world wide market. The costs of shipping, freight and customs are not a significant determinant of prices. If subsidy is abolished and ALL the refineries in Nigeria, including Dangote, start producing at full capacity, the cost of petrol at your local filling station will still be close to the world price.

Think about this. If world petrol price remains at the current ₦‎450 and the local price in Nigeria is ₦‎165 or even ₦‎250, what do you think Dangote will do?

He will EXPORT all his products abroad to get the better price. The ONLY WAY he will sell in Nigeria is if government pays him the difference, to make up for his losses. That is to say, the Government of Nigeria will pay FUEL SUBSIDY directly to Dangote. And then Nigerians will buy the fuel at the pump and smuggle to Benin Republic and Cameroun and you're back to the same problem of SCARCITY.

Come on man, it's not that hard to understand. High prices encourage local production. The problem in Nigeria right now is government fixes a lot of prices so suppliers refuse to supply.

Bodexinvest:
Would there be any need for subsidy if we refine petrol locally? What is wrong with this country?

IbeOkehie:


The cost of fuel is set on a world wide market. The costs of shipping, freight and customs are not a significant determinant of prices. If subsidy is abolished and ALL the refineries in Nigeria, including Dangote, start producing at full capacity, the cost of petrol at your local filling station will still be close to the world price.

Think about this. If world petrol price remains at the current ₦‎450 and the local price in Nigeria is ₦‎165 or even ₦‎250, what do you think Dangote will do?

He will EXPORT all his products abroad to get the better price. The ONLY WAY he will sell in Nigeria is if government pays him the difference, to make up for his losses. That is to say, the Government of Nigeria will pay FUEL SUBSIDY directly to Dangote. And then Nigerians will buy the fuel at the pump and smuggle to Benin Republic and Cameroun and you're back to the same problem of SCARCITY.

Come on man, it's not that hard to understand. High prices encourage local production. The problem in Nigeria right now is government fixes a lot of prices so suppliers refuse to supply.

iwaeda:


You don't know economics, if we have refineries, all those costs will be off.

Mitsurugi:
This APC is shameless. These are the same people that fought GEJ back then over this same issue. So the chicken has finally come home to roost. In time Nigerians will truly discover that APC was the biggest scam ever to happen to us all. That is why either LP or PDP must win. APC's nyash must be exposed in the sunlight so that the ngenes, the honorable vulture griller and his ilk can disable their accounts once and for all.