Life goes on jare

i thot the senate said no? how did he go abt this?

queensmith:

i thot the senate said no? how did he go abt this?

GEJ is seeking to use an executive fiat to bully his way forward. An executive fiat is essentially an authoritative decree or order issued by an office with ultimate executive authority. The sadness of all this is that GEJ has never sought to use any executive fiat to actualise many of the bold policies that can begin transforming Nigeria for the better and immediately in favour of ordinary Nigerians. Let us see how this will play out. Folks, like otokx, like to dismissively conclude it is all "hot air". Well, it is not ordinary Nigerians alone  team naive GEJ have to worry about. That is what most folks don't seem to understand.

this beaf guy, you are losing any  credibility you have as an independent Nigerian that actually thinks the fuel subsidy removal is good for us as against a paid government stooge. how you have conveniently side stepped all  the pertinent questions posed by myself and other posters does not show any independent mindedness. you claim that government has "worked out" palliative measures, measures you yourself have no idea of. and we are supposed to believe them just beccause they said so. won't these so called palliative measures cost money to implement? and where will that money come from; the subsidy savings or the budget? weren't we told that governent was borrowing to subsidize fuel? will the removal of the subsidy mean govvernment will stop borrowing or that the borrowed money will just be  used for other purposes?

i don't expect you to answer my questions. rather, i expect you to throw questions bak at me about state governments and lgs, as if provision ofcheap petrol or power supply has  been in their purview. what you are doing here is nt trying to convince us but confuse us, but i don't confuse  easily

some interesting comments on FB!

"Una wey dey broadcast wetin Patience Jonathan talk, shebi u don happy now? Let me see how easily una go fit put fuel inside generator to charge the fakking blackberry wey una dey use broadcast all those rubbish.

IDIATS. If u talk again, na NEPA bill go increase. "

a smart fuel station can sell petrol @ N100/l and get a lot more customers than his competitors selling @ N140+/l. . . this is a good thing, but many peole haven't settled down to think of the possibilities. Some are even considering street protest (can u imagine!)

GEJ has done nothing wrong. . .

There is no need for such economies. fuel must sell, so why sell at a lower price when you can sell at 140.

I don't know if a thread should be opened on these points I want to raise. Nigerians generally have poor memory.

The big question is "Is this the first time the Nigerian Government has removed subsidy?"

And the big answer is "NO". PTF that made Buhari popular was a product of subsidy removal during Abacha's regime. He had problem with the Labour union but after a meeting, they agreed that a trust fund will be commissioned for the judicious use of the money previously used as subsidy in development of infrastructure.

During Obasanjo's regime, he as a wise man suggested outright de-regulation to forestall this kind of situation we have today but the labour then under Oshiomole fought him so hard that he had to agree on de-regulating only diesel and reducing the subsidy on petrol while kerosine remained subsidized.

Now is it not wiser for Jonathan to de-regulate rather than removing subsidy and still fix price?

fresh air

Gbawe:

GEJ is seeking to use an executive fiat to bully his way forward. An executive fiat is essentially an authoritative decree or order issued by an office with ultimate executive authority. The sadness of all this is that GEJ has never sought to use any executive fiat to actualise many of the bold policies that can begin transforming Nigeria for the better and immediately in favour of ordinary Nigerians. Let us see how this will play out. Folks, like otokx, like to dismissively conclude it is all "hot air". Well, it is not ordinary Nigerians alone team naive GEJ have to worry about. That is what most folks don't seem to understand.

ahhh i see- this executive fiat doesnt take time to execute?

nna still dey here?

I don't think it is a good idea to demand reversal of the policy on fuel subsidy removal, rather we should demonstrate for a corrupt-free Nigeria. Let all those we suspect to be corrupt be brought to justice immediately, that should be our single demand. Considering the multi-ethnic make up of Nigeria, it will be difficult for the government refineries to work efficiently because of nepotism.

Gbawe and all the reasonable contributors! God bless you all.
Please the BEST way to silent an accursed person is to IGNORE
all his posts. If that is done, he will be forced to keep mute. Never
engage him on any argument.

To those that voted this CLUELESS man, goodluck to you.

Mrc1:

I don't think it is a good idea to demand reversal of the policy on fuel subsidy removal, rather we should demonstrate for a corrupt-free Nigeria. Let all those we suspect to be corrupt be brought to justice immediately, that should be our single demand. Considering the multi-ethnic make up of Nigeria, it will be difficult for the government refineries to work efficiently because of nepotism.

yes, corruption is our major problem

Has anyone considered the effect of this policy on those earning 10k or less. It means the rate of robbery will shoot up as many will not be able to afford anything again. Cost of food, transportation, water, and everything you can think of to survive will rise against this meager income.

So for those of you who can't think deep. You are no longer safe. Attention shifted to Banks and Fueling stations before subsidy am sorry people will begin to do anything to survive even if it will involve breaking down your gate while you are at work.

These are factors you need to consider before coming up with some crazy policies. Yo need to weigh the immediate effect against some uncertain long term effects. The welfare of your people should be paramount. This is sheer insensitivity

senbonzakura_kageyoshi:

this beaf guy, you are losing any credibility you have as an independent Nigerian that actually thinks the fuel subsidy removal is good for us as against a paid government stooge. how you have conveniently side stepped all the pertinent questions posed by myself and other posters does not show any independent mindedness. you claim that government has "worked out" palliative measures, measures you yourself have no idea of. and we are supposed to believe them just beccause they said so. won't these so called palliative measures cost money to implement? and where will that money come from; the subsidy savings or the budget? weren't we told that governent was borrowing to subsidize fuel? will the removal of the subsidy mean govvernment will stop borrowing or that the borrowed money will just be used for other purposes?

i don't expect you to answer my questions. rather, i expect you to throw questions bak at me about state governments and lgs, as if provision ofcheap petrol or power supply has been in their purview. what you are doing here is nt trying to convince us but confuse us, but i don't confuse easily

It is little minds that go personal my friend. Avoid it.

about LG's and states, I'm just wondering if you really know where to channel your energy and vent your anger. If you did, you would be wondering why your local area is so poor that you need welfare from the FG. I am only showing you how misplaced your anger is; if your state and LG were doing what they were meant to and providing you with jobs and services, you wouldn't really care if the FG existed or not.

Ask anybody in the US or UK how many things they ask their central govts for on a daily basis. Everything is supplied by state or LG's, thats the way normal countries are run and what we should be fighting for. Why should we continue to behave like a communist country when we so clearly arent?

Please, set up a protest to burn down your LG chairman or state governor for degrading you by having to go to Abuja monthly for beggars money for donkey years with no development to show.
Every Nigerian is on welfare, every LG is on welfare and every state is on welfare. We are not lazy people, so something is fundamentally wrong.

beaf tell them well

i was told by my president when he was runing for the office that he went to school without shoes and that he knows what been poor is,and today you give 18k as wage,and is selling pms for one hundrend and forty naira,is these the fress air you promise us gej?.

For people comparing Nigeria to America , they use unleaded fuel there and we use leaded fuel which causes a lot of health problems so there is no basis for comparison. Research and you will see the dangers of leaded fuel on a persons health

GEJ is in trouble, Nigerians are angry. Transport fares has doubled.

Has anyone gotten a working link or a copy of the [Brief on Fuel Subsidy: A Presentation By Dr. Ngozi Okonjo-Iweala]. It would be worthwhile to read this to better analyse the thinking of those at the helm of affairs in this country.

Please send the link or a copy of the document

IMF oo

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.

FG has finished our common wealth they are now reaching out for our personal wealth. Watch out for property tax and all taxables.

so is Ade_77 then saying that ngozi and GEJ are thieves for removing subsidies?

Maybe yes, impliedly.

Yes, if she is earning millions has monthly salary while minimum wage is 18,000,
She doesn't buy fuel cause it is covered by govt. And she says we should make sacrifices
She should show the way by stating their monthly allowances and how they intend
to cut it down
They should bring the so called cabal to book and let us know that they are no sacred cows. The govt has just suceeded in letting the Cabal go free.

The government is actually the cabal

nice Ade uve made too much sense.

im guessing its easier to just remove the subsidy and steal the money rather than audit corroption against several sectors.

Im not neccasarily against the subsidy removal, its just that i know very well the money isnt going to be saved or put back into th ecapital spend. its going to be stolen, eaten, used to buy houses in kent, and for the residents of aso rock to eat expensive stock fish. its all too painful for nigerians to be cheated excessively!

otokx:

The government is actually the cabal

My brother, you beat me to it !!! Who gave themselves the power to issue licence to oil marketers since 2009? The FG !!!! How many "independent" marketers came on board under GEJ including those with nada to do with the oil sector? What conditions justify fuel subsidy to be N1.4 trillion, in one year (2011) under GEJ and almost half of what has being paid out in total towards fuel subsidy , i.e N3.7 trillion, in 5 years from 2006 to 2011?

Is it not only the FG and the NNPC that firmly control the sector and know where all the bones are buried? Folks, because of ethnic and religious bias, can continue to fool themselves that GEJ, Allison-Madueke et al are "victims" been persecuted by the wicked "yaribas" and "almajiris" when those not into self-deception can see that they are actually just the latest set of thieves in control.

ade_77:

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.

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