o.k , no probs. It will only usher in a
bloody REVOLUTION in Nigeria.
We had long needed that.
Sometimes I wonder what kind of 'Umblera F00l' Nigerian President is.

Mumu.

Am Alone:

Just two words for you! you are an Imbecilious Imbe,cile

Ur papa for house.
Whats there not to do?
You want development=remove subsidy.
I wholesomely stand by the decision if at all there's gonna be any.
2012 is gonna be for the brave-hearted Nigerian, if you are not, we go ship you go Lesotho.

I support the revolution,hope we won't settle for anything higher than 65 per liter

d poor in 9ja is dead. 70 percent ov nigerials only enjoy fuel subsidy 4rm govt. The price ov power is also going 2 increase by 100 percent too by 2012.the worse thing is they wil stil embezzle this money . PDP I HAIL O

4 Play:

The value of money is in what it can buy. The N5 of the early 90s is probably equivalent to N150-N200 today, I'm taking a wild guess but you get the point. There is therefore no point in telling us that fuel used to sell for N5 as if that is a valid argument against fuel increase.

Thank you joor.

IBB and OBJ called each other fools . Both former rulers ruled Nigeria conveniently for over eighteen years. If these so called fools had ruled Nigerians conveniently and succeesfully for this long, then the people they ruled must be BIG FOOLS because big fools can only be ruled by fools.
Funny enough, Nigerians then confirmed this foolishness by voting PDP back to power after about 12 years of misrule accompanied by poverty, corruption, and undevelopment.
Now another mumu from North is warming up for 2015 under PDP.
I know foolish Nigerians will still vote for him and PDP after this satanic subsidy removal.
WE ARE THE PROBLEM OF OURSELVES.

nt nice4 nigerians, kill dem all, hw i wish i have my way2 aso rock

@alj_harem,  @lanre_front

Why is a simple English explanation so difficult for you to understand? Should I use Yoruba or Ibo?

I never said the government has put those thing in place. I simply said those things will need to be in place before subsidy can be removed. That means, I wasnt really on the government side. I was just stating facts. I also said you need to focus your energies in demanding that government put those things in place (at least to an acceptable level) before they can talk about removing subsidy.

Secondly, please stop echoing the silly labour and media ignorance. Subsidy does not benefit the poor. If you think it does, then you are truly being scammed. Subsidy benefits the importers. The problem with Nigeria is that most of us have this "government is a nanny" mentality. I have said time and time again, we do no need government handouts. We do not need government paying our bills. That is why I detest owanbe governors who always come out promising free this and free that. We dont need freebies. We need the right infrastructure in place so we can generate wealth. We are hard working and intelligent people. We need good roads, access to loans, regular power, security, etc not government handouts and stipends. Stop thinking in stipends. Stop this "government is a nanny" mentality.

SUBSIDY DOES NOT BENEFIT THE MASSES. IT ONLY BENEFITS THE IMPORTERS. What the so called masses think they gain in subsidy, they loose in hospitals, loans, roads, etc. I know some will quickly jump and say "but they will embezzle the money if government stop spending it on subsidy". That is a wrong argument. So somebody should be allowed to enrich himself just because we are afraid the government might embezzle it? Terrible stand to take, I think. Instead, we should now fight for accountability. For example, you can start a movement that will keep tabs on the money gained from the removal of subsidy and how it is spent and track it. This is how the people demand good governance. Well I guess nobody wants to do that because it is more convenient to critisize and talk crap. Stop critisizing and start acting. You have not done anything for Nigeria and you are accusing a politician. Why have you not stood up and taking a stand to help your country. Critics are the worst kind of people there are. Go back to your village and start there and make a difference. Posting crap in NL all day is a cowardly response to life's challenges. Act and make a difference. Talk is cheap. Forums are even cheaper!

So according to you, Subsidy does not benefit the poor . . . . interesting . . . so the safety net program (SUBSIDY) and the proposed Electricity subsidy programs on the way will not benefit the poor. Then what are you rapping about??

life don hard well well now, small time we go fi get money to pay for internet service ooo!

Kobojunkie:

So according to you, Subsidy does not benefit the poor . . . . interesting . . . so the safety net program (SUBSIDY) and the proposed Electricity subsidy programs on the way will not benefit the poor. Then what are you rapping about??

I didnt put water in my mouth when I said it. SUBSIDY DOES NOT BENEFIT THE POOR. Tell me how it benefits the poor. You take money that should be used to provide infrastructure for the poor and use it to pay an oil importer to bring in oil. Tell me how that benefits the poor. The money the poor thinks he saves from fuel purchase, he spends on things he shouldnt have spent it on in the first place. Please apply rational thinking and stop echoing the ignorant labour and media bile.

For those who are not aware,[b] a safety net program is a SUBSIDY PROGRAM, in this case, designed to, you guessed it, SUBSIDIZE cost of petroleum to the masses. [/b]Essentially, this government is choosing to continue subsidizing petroleum, a program it claims is plagued with corruption, only labeled differently this time. Think on these things. If the importers, as many continue to claim, gain the most from  the current petroleum subsidy program, what changes are in place with the  NEWLY LABELED subsidy program we are to get come 2012? In essence, what really changes here?

Also, it appears the same government that argues that subsidizing petroleum does not make sense due to corruption, it has allowed to persist at astounding levels  for years, now suggests it will also subsidize electricity for the poor. So, it seems the administration does not buy into this "SUBSIDIES ARE EVIL" mindset/argument some have put forth in defense of the removal/re-branding of the current petroleum subsidy program?

The same argument applies to electricity tariffs. Why do we always put the wrong things forward?

We dont need low electricity tariffs. we need standard electricity tariffs, constant electricity and pay as you go billing. Thats exactly what we need. Those currently on pay as you go billing spend less than those on PHCN estimated billing crap. With pay as you go, you use only what you need and shut of your power when you dont need it.

I beg all of you to put down the sentiments and just think right. AS LONG AS WE CONTINUE TO PREACH THE LABOUR MENTALITY OF GOVERNMENT TAKING CARE OF US, WE WILL BE PUTTING OURSELVES IN THE WRONG BOAT AND GIVING THE GOVERNMENT THE ADVANTAGE. Demand development and infrastructure, not handouts!

The should reduce the national assembly's immoral allowances too, the new V.P's house currently being constructed costs 7 billion, if the really want to save more, the should stop the evil misappropriation of funds, these people have got no shame whatsoever, serious minded governments subsidies things that affect the generality of the people, the british government subsidies its transport sector, we know we don't have a government already and removing fuel subsidy would only help us start that much needed revolution (Jerry Rawlings type), we need to take back our land from these thieves

all these talk of revolution really make me laugh. There is already a revolution. I dont know which one you are looking for again. The problem in Nigeria is not having a revolution but agreeing what a revolution represents or is. If by revolution, you mean, removing GEJ and putting in Buhari or Tinubu then you must be delusional. If by revolution, you do mean demanding from whoever is there, good governance. then you are on point. The problem is not just who leads us but our ability to demand the right things. But it is difficult to pursue a collective revolution when we are constantly partisan and thinking of our individual interests and calling our actions a revolution

GEj didn't get this one right at all.you are removing fuel subsidy and your administration refused to pay the minimum wage.who is then deceiving who?.life would be unbearable and he should expect more social violence,such as theft,kidnapping and terrorism.we all know his weak administration only depend on dialogue and amnesty,so he should be ready for more dialogues and amnesties.truth be told,2012 is going to be full of suprises.

That subsidy should be removed is a fact that is essential however the timing is what i have issues with. A lot of things (that includes what ediclove highlighted above) needs to be put in place before we even start talking about subsidy.
I doubt if the PDP controlled govt headed by the Retardeen has such balls and the sincerity to do this considering the fact that they have been in power for yrs and we all are witnesses to their so called achievements.
Until i am convinced about the sincerity of those in power and at least relative assurance that proceeds from the so called non-subsidy fuel will be channeled to infrastructures, likewise improved refining capacity on our soil, i will say a Big No to subsidy for now.

edicolove:

@alj_harem, @lanre_front

Why is a simple English explanation so difficult for you to understand? Should I use Yoruba or Ibo?

I never said the government has put those thing in place. I simply said those things will need to be in place before subsidy can be removed. That means, I wasnt really on the government side. I was just stating facts. I also said you need to focus your energies in demanding that government put those things in place (at least to an acceptable level) before they can talk about removing subsidy.

Secondly, please stop echoing the silly labour and media ignorance. Subsidy does not benefit the poor. If you think it does, then you are truly being scammed. Subsidy benefits the importers. The problem with Nigeria is that most of us have this "government is a nanny" mentality. I have said time and time again, we do no need government handouts. We do not need government paying our bills. That is why I detest owanbe governors who always come out promising free this and free that. We dont need freebies. We need the right infrastructure in place so we can generate wealth. We are hard working and intelligent people. We need good roads, access to loans, regular power, security, etc not government handouts and stipends. Stop thinking in stipends. Stop this "government is a nanny" mentality.

SUBSIDY DOES NOT BENEFIT THE MASSES. IT ONLY BENEFITS THE IMPORTERS. What the so called masses think they gain in subsidy, they loose in hospitals, loans, roads, etc. I know some will quickly jump and say "but they will embezzle the money if government stop spending it on subsidy". That is a wrong argument. So somebody should be allowed to enrich himself just because we are afraid the government might embezzle it? Terrible stand to take, I think. Instead, we should now fight for accountability. For example, you can start a movement that will keep tabs on the money gained from the removal of subsidy and how it is spent and track it. This is how the people demand good governance. Well I guess nobody wants to do that because it is more convenient to critisize and talk crap. Stop critisizing and start acting. You have not done anything for Nigeria and you are accusing a politician. Why have you not stood up and taking a stand to help your country. Critics are the worst kind of people there are. Go back to your village and start there and make a difference. Posting crap in NL all day is a cowardly response to life's challenges. Act and make a difference. Talk is cheap. Forums are even cheaper!

Glaringly, you are the one having problem with English (this your wisdom-confidence na wa o). If your claim was not in support of government, then you sir have one of the worst communication skill in history.
Now to address your new issues. We know that Subsidy does not benefit the poor but the corrupt political elites and business men, all mostly linked to PDP.

We already said the subsidy itself is a fraud, that it's just a clever ploy to siphon the nation resources. @ Jeinsinmi post went to great lenght to break this down. There are many clever ploys like that. Na today.

They purposely refused to fix the refineries for this ploy to persist. We and the NLC know this and there really is little the masses can do about this. What concerns us is the price of fuel and how it affects our lives. So what we will not take is for the same corrup PDP goverment to now use the issue of a very fraudulent and questionable subsidy as an excuse for increasing the price of fuel and causing the masses unimaginable hardship.

We are expecting Jonathan to better the lives of masses. The ripple and multiplier effect will be so disastrous, anything the goverment does will be like a drop in the ocean.

Like a @alj harem rightly said: removal of subsidy = increase in infrastructure. Especially in a goverment where corruption is like fresh air.

Jonathan really is a disgrace. Why can't if see that,there is nothing unique in Nnkoji Iweala measures that is unique: devaluation of the naira, removal of any kind of subsidies etc. These are the same SAP and IMF measures which destroyed our economy during IBB's regime. Buhari fought them off but IBBimplemented them within months of taking power to the delight of the World Bretton Institutions. Madam Finance Minister mindset is totally WORLD BANK and history has proven most of their policies destroyed many African nations.
Oh God, why didn't you have pity on Nigeria and allow Buhari become President.

Mr. president, stop struggling to find a cure for your patient's ringworm while you ignore his leprosy.

Nigeria's problem is not subsidy or power etc, our problem is CORRUPTION, sure and simple. If any President will talke this will talke this holistically, withou fear, favour, selection, every other thing will fall into place.

Buhari understood this, even since the '80s and that was what if was coming to do.

We get the goverment we deserve. It pains my heart, act it seems Nigerians will still suffer long untill we learn how to support sincere leaders.

While you at the apex sees removal of subsidy as the only alternative to bring development in this country, you should as well know that you are removing the greater number of the Nigerian population from your plans and that alone sound doom as far as am concern and does not give us confidence in this government. Nemesis has started taking it course on us that is why SUPER EAGLES are removed from Nations Cup because Nigeria only understands REMOVAL and no addition in its plans. OUR REWARD IS IN HEAVEN

lanre_front:

Glaringly, you are the one having problem with English (this your wisdom-confidence na wa o). If your claim was not in support of government, then you sir have one of the worst communication skill in history.
Now to address your new issues. We know that Subsidy does not benefit the poor but the corrupt political elites and business men, all mostly linked to PDP.

We already said the subsidy itself is a fraud, that it's just a clever ploy to siphon the nation resources. @ Jeinsinmi post went to great lenght to break this down. There are many clever ploys like that. Na today.

They purposely refused to fix the refineries for this ploy to persist. We and the NLC know this and there really is little the masses can do about this. What concerns us is the price of fuel and how it affects our lives. So what we will not take is for the same corrup PDP goverment to now use the issue of a very fraudulent and questionable subsidy as an excuse for increasing the price of fuel and causing the masses unimaginable hardship.

We are expecting Jonathan to better the lives of masses. The ripple and multiplier effect will be so disastrous, anything the goverment does will be like a drop in the ocean.

Like a @alj harem rightly said: removal of subsidy = increase in infrastructure. Especially in a goverment where corruption is like fresh air.

Jonathan really is a disgrace. Why can't if see that,there is nothing unique in Nnkoji Iweala measures that is unique: devaluation of the naira, removal of any kind of subsidies etc. These are the same SAP and IMF measures which destroyed our economy during IBB's regime. Buhari fought them off but IBBimplemented them within months of taking power to the delight of the World Bretton Institutions. Madam Finance Minister mindset is totally WORLD BANK and history has proven most of their policies destroyed many African nations.
Oh God, why didn't you have pity on Nigeria and allow Buhari become President.

Mr. president, stop struggling to find a cure for your patient's ringworm while you ignore his leprosy.

Nigeria's problem is not subsidy or power etc, our problem is CORRUPTION, sure and simple. If any President will talke this will talke this holistically, withou fear, favour, selection, every other thing will fall into place.

Buhari understood this, even since the '80s and that was what if was coming to do.

We get the goverment we deserve. It pains my heart, act it seems Nigerians will still suffer long untill we learn how to support sincere leaders.

You just said it all. Nothing more to add

@edicolove SMH please read your post again and read what I posted

Nigerian leaders are trespassing beyond their boundary! We are running out of patience everyday but they don't know. Revolution might start anytime in this country because of their greed.

edicolove:

@alj_harem,  @lanre_front

Why is a simple English explanation so difficult for you to understand? Should I use Yoruba or Ibo?

I never said the government has put those thing in place. I simply said those things will need to be in place before subsidy can be removed. That means, I wasnt really on the government side. I was just stating facts. I also said you need to focus your energies in demanding that government put those things in place (at least to an acceptable level) before they can talk about removing subsidy.

Secondly, please stop echoing the silly labour and media ignorance. Subsidy does not benefit the poor. If you think it does, then you are truly being scammed. Subsidy benefits the importers. The problem with Nigeria is that most of us have this "government is a nanny" mentality. I have said time and time again, we do no need government handouts. We do not need government paying our bills. That is why I detest owanbe governors who always come out promising free this and free that. We dont need freebies. We need the right infrastructure in place so we can generate wealth. We are hard working and intelligent people. We need good roads, access to loans, regular power, security, etc not government handouts and stipends. Stop thinking in stipends. Stop this "government is a nanny" mentality.

SUBSIDY DOES NOT BENEFIT THE MASSES. IT ONLY BENEFITS THE IMPORTERS. What the so called masses think they gain in subsidy, they loose in hospitals, loans, roads, etc. I know some will quickly jump and say "but they will embezzle the money if government stop spending it on subsidy". That is a wrong argument. So somebody should be allowed to enrich himself just because we are afraid the government might embezzle it? Terrible stand to take, I think. Instead, we should now fight for accountability. For example, you can start a movement that will keep tabs on the money gained from the removal of subsidy and how it is spent and track it. This is how the people demand good governance. Well I guess nobody wants to do that because it is more convenient to critisize and talk crap. Stop critisizing and start acting. You have not done anything for Nigeria and you are accusing a politician. Why have you not stood up and taking a stand to help your country. Critics are the worst kind of people there are. Go back to your village and start there and make a difference. Posting crap in NL all day is a cowardly response to life's challenges. Act and make a difference. Talk is cheap. Forums are even cheaper!

ive never heard anyone talk so much crap in my life - so according to  your logic the only available source of revenue for undertaking infrastructure development in nigeria is from the revenue that is currently being used to subsidise the price of petrol for consumers - so what does the nigerian govt do with the tax revenue, crude oil sales revenue, monies from windfall sales of crude oil, where does all that money go? this is the most ridiculous argument i have ever heard in my life, so you actually beleive that a govt that has diverted billions in oil revenue into overseas personal accounts over the years will suddenly develop a conscience and use the subsidy revenue to build infrastructure?

this is the daftest argument i have ever heard, honestly

and for your information it is the nigerian govts responsiblity to finance certain basic services such as education and healthcare - the reason the govt is not doing this is not only due to the diversion of govt funds into personal bank accounts but also due to their ongoing implementation of IMF structural adjustment policies - monies that are supposed to go into these areas are used to pay extortionate interest rates on loans borrowed from international financial institutions.

govts of developed countries PROVIDE services like education and health care to their citizens, they also subsidise other areas such as agriculture in order to keep the prices of food low so that your statement about nigerians being over reliant on the govt does not make sense - IT IS THE DUTY OF A GOVT TO PROVIDE FOR ITS CITIZENS NOT FOR THE CITIZENS TO BE LEFT TO FEND FOR THEMSELVES!!!

Thank God my keke no dey use fuel

The air is getting fresher by the day

Goodluck Naija; U requested for it; Enjoy it!!!

@ cap28,

Thanks jare for your post. Some people think knowing how to speak and write grammar equates to making sense.

We have a President whose mind can easily swayed, whose eyes can be easily covered with wool. A strong willed, focused President who is determined to better the lot of the people would have rejected this alternative from his advisers and ministers and demand of them to go and put on their thinking-cap and come up with another alternative.

Like cap28 said, is the goverment that is the only way to give the country the much needed infrastructural development.

The subsidy on fuel has outlived it usefullness. Yes, it should be faced out
and whatever money saved from the execise should be directed toward
improving our healthcare delivery and education.

There is no fuel subsidy in Ghana but, have that nation seized to exist?
Ghana is infact doing beter, economically, than naija.

Our country was taken other by crooks and thieves after they poisoned Abacha who was the last patriotic leader we had.

Review Nigeria's history and you would realise where things began to go wrong

https://www.nairaland.com/nigeria/topic-693700.0.html


Abacha increased fuel prices slightly and used the proceeds to fund the PTF, Obasanjo abolished PTF and increased fuel 5 fold and used the proceeds to loot.

Gosh, we've had these subsidy arguements on NL a million times.

In the LONG TERM and speaking from an ECONOMIC (not socialist) point of view subsidies should be removed. I know it will make things difficult in the SHORT TERM, but that will just have to be the collective pain we'll all have to bear for mismanaging this country. While the leaders have the most responsibility for mismanagement, we the followers are not much better. As they say, people get the types of leaders that they deserve.

There is no petrol or electricity subsidy in Ghana, but they are all still alive aren't they?? And in my opinion they are not necessarily worse off as a country than we are. Besides if kerosene and diesel are already deregulated then we shopuld have nothing to fear, cos the so called masses who insist on kerosene at N150 per litre (when gas at N3500 per cylinder is probably cheaper) are buying it at whatever price and they are not dying. Likewise most of the heavy haulage of food, cement etc already factors in deregulated diesel, so why should foodstuffs and cement etc rise astronomically? Afterall, tankers and trailers use diesel and not petrol.

I think we might just all be overstating the impact of removal of subsidy on petrol on our economy, when kerosene and diesel are already deregulated. No doubt it will make things more difficult in the SHORT TERM, but in the LONG TERM Nigeria will be much better for it.

cap28:

ive never heard anyone talk so much crap in my life - so according to your logic the only available source of revenue for undertaking infrastructure development in nigeria is from the revenue that is currently being used to subsidise the price of petrol for consumers - so what does the nigerian govt do with the tax revenue, crude oil sales revenue, monies from windfall sales of crude oil, where does all that money go? this is the most ridiculous argument i have ever heard in my life, so you actually beleive that a govt that has diverted billions in oil revenue into overseas personal accounts over the years will suddenly develop a conscience and use the subsidy revenue to build infrastructure?

this is the daftest argument i have ever heard, honestly

and for your information it is the nigerian govts responsiblity to finance certain basic services such as education and healthcare - the reason the govt is not doing this is not only due to the diversion of govt funds into personal bank accounts but also due to their ongoing implementation of IMF structural adjustment policies - monies that are supposed to go into these areas are used to pay extortionate interest rates on loans borrowed from international financial institutions.

govts of developed countries PROVIDE services like education and health care to their citizens, they also subsidise other areas such as agriculture in order to keep the prices of food low so that your statement about nigerians being over reliant on the govt does not make sense - IT IS THE DUTY OF A GOVT TO PROVIDE FOR ITS CITIZENS NOT FOR THE CITIZENS TO BE LEFT TO FEND FOR THEMSELVES!!!

Thank you for stating what the edicolove refuses to see

@jensinmi

I agree with Lanre and will repost my reply to a previous thread. I won't keep re-typing responses to this subsidy issue.


Below is my response to the following thread

Nigeria Spends N72.8bn Monthly On Fuel Subsidy
https://www.nairaland.com/nigeria/topic-746266.0.html#msg9024300


I agree with Kobojunkie and strongly disagree with ekt_bear and friends.


This is all basic mathematics. Anyone who went to school will work out that this fuel subsidy noise is a LIE or at best gross exaggeration.

FIRST OF ALL, ANYONE WHO TELLS YOU THAT NIGERIA SPENDS $500 million ON FUEL SUBSIDIES MONTHLY IS A THIEF.

This is basic mathematics and a fact.
They can claim that the give out $500 million in subsidy money monthly. That is between them and their thieving companies and friends.

Let's break it down:

Nigeria produces crude oil. Other countries produce crude oil.
Nigeria has 4 refineries with total installed capacity of 445,000 barrels per day (or whatever the NNPC claims nowadays).
Nigeria's refineries are not working at full capacity.
Crude oil is refined to PMS (Premium Motor Spirit) aka Petrol.
Nigerians use PMS to fuel vehicles, generators and other things.
PMS is traded internationally at a particular rate that varies.
Other countries that produce Crude oil refine it and sell to their citizens at whatever rate they please (irrespective of international rates).
Nigeria monthly PMS consumption = Locally refined + Imported refined (at International Rates)
Nigeria sells PMS to citizens for N65/litre
Subsidy = Amount paid to PMS importers for difference between International Rates for Imported Refined and N65/litre.

Example = Importers buy fuel internationally today from Venezuela at N120/ litre for example, they bring into Nigeria and sell for N65/litre. In order for said Importers not to lose N55/litre, the Nigerian Government pays N55/litre balance. This balance is the SUBSIDY.

Problem 1: Due to corruption, Nigerian officials collude with Government officials and claim to have imported more fuel than they actually bring in.

Example: Mr. Otedola's company may only bring in 1 million litres per day but claim to bring in 2 million litres per day. And like in previous example, The Government officials will pay N110 million per day (N 55/litre subisdy x 2 million litres) instead of N55 million (N55/litre subsidy x 1 million litres).

Problem 2: Due to corruption, Fuel importers collude with Nigerian National Petroleum Corporation (who by the way are in charge of the locally refined) and Government officials to buy the Locally refined and claim that the said quantities of petroleum where in fact imported into the country at international rates.

Example: Ms. Deziani's accomplices may buy 1 million litres per day of petroleum from the NNPC for N65 million and then claim that this quantity was bought at N120 million internationally (N120/litre international rate x 1 million) . They would then proceed to collect N55 million (N120 milion - N65 million) from the Nigerian Government as subsidy payment.

Problem 3:Due to corruption and inadequate monitoring, Fuel importers collude with Nigerian National Petroleum Corporation (who by the way are in charge of the locally refined) and Government officials to fraudulently under-report the quantities of locally refined PMS so they can purchase the more from the local refineries and claim to have imported said quantities (problem 2)

Example: The NNPC may claim to refine only 2 million litres per day when it in fact refines 4 million litres per day. The remaining 2 million litres would then be sold to their partners in crime at N65/ litre. These partners will proceed to sell these quantities to the Nigerian populace while demanding N55 subsidy per litre from the Nigerian Government after claiming that this 2 million litres/day were imported from Venezuela or other country. This example is highlighted by the inability of the NNPC to give account of the actual quantities it refines daily.


Therefore taking into consideration that

Subsidy = Amount paid to PMS importers for difference between International Rates for Imported Refined and N65/litre.

and the extent of problems 1, 2, and 3, it becomes easy to see why the true cost to Nigeria of the fuel subsidy may not exceed $100 -$150 million/ month.

Once again, I put forward that

ANYONE WHO CLAIMS THAT NIGERIA TRULY SPENDS $500 million ON FUEL SUBSIDIES MONTHLY IS A THIEF.


Why do Nigerians need a fuel subsidy??

Do average Nigerians really benefit from a fuel subsidy??

Interesting questions. Let me rephrase that.

Do average Nigerians benefit from buying PMS at N65/litre instead of N120, N130, or N140/litre
I think a monkey can answer that.

1. The average Nigerian buys PMS to fuel his/her car i.e N500 daily.
2. The average Nigerian takes public transport in vehicles that use PMS at certain amount i.e N50 per trip.
3. The average Nigerian buys PMS to fuel his generator i.e N1000 daily.
4. The average Nigerian buys food (bread, vegetables, fish) which is transported across the country in Vehicles that use fuel.

No subsidy equals

1. The average Nigerian needs PMS worth N1000 for his/her car daily.
2. The average Nigerian takes public transport at a new amount i.e N80 per trip.
3. The average Nigerian buys PMS to fuel his generator i.e N2000 daily
4. The average Nigerian buys food (bread, vegetables, fish) at a much higher price.

it doesn't take a genius to figure out that the average Nigerian benefits significantly from the lower cost of PMS.

It would be hard to find a Nigerian in Nigeria who wants the price of PMS to rise. It is a slap in the face of average Nigerians for ekt-bear and friends to claim that removing the subsidy will not have a tremendous negative impact on Nigerians. It is easy to sit in the U.S.A and claim that doubling the price of PMS in Nigeria will have no impact on the populace. Akin to saying an increase in gasoline prices in the U.S.A to $7/gallon today will have no significant effect on the populace.

Does corruption allow unscrupulous individuals to benefit from the subsidization of PMS?? Yes.
But why does the average Nigerian have to get shafted for this?? Why not tackle corruption instead??

Solutions.

A. Ascertain the true quantities of PMS locally produced daily.
B. Ascertain the true total quantities of PMS consumed daily nationwide.

Subract A from B and arrive at the true quantity of PMS imported at international rates (This value will then be subsidized)

By tackling corruption, the cost of subsidization can be brought down to no more than $100 million per month.


Solution Part 2 - By bringing refineries to optimum operating capacity and building new refineries.
Locally refined PMS can exceed Locally consumed PMS.

Mythical Solution= Remove the subsidy and hope that the supposed $500 million/ month that is currently being used to compensate corrupt entities will translate into development and improvement for the average Nigerian.

The question now remains, does increasing the burden on the average Nigerian guarantee the resolution of the problem??


PS: Problem 4: Overestimating the total nationwide PMS consumption allows fuel importers and the NNPC to further perpetrate fraud.


Also, please note that selling locally refined PMS at N65/litre is still a profitable venture for the NNPC.

Thank God for your post, it shows there are still some reasonable folks in this country.A lot of Nigerian's reasoning faculty has been blinded by either corruption or poverty. Most of them abound here on nairaland especially those that have been giving absurd excuses about removal of fuel subsidy translating into improved infrastructure as if this is the first time we'll be hearing such from our thieving leaders.

This issue of subsidy have only one solution, the Government should deregulate the downstream oil sector. Let the forces of demand and supply determines the price. and let the sector have free entrance and free exit. We will experience initial high price, but this will gradually come down and they economy will be better for it.

We need to wake up and understand that our country has been hijacked by criminals who continue to wreck havoc on our nation.

Why are we still allowing the two evil criminal fools , Obasanjo and Babangida to still be at liberty?

We need to wake up from our coma before they bury us


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