₦airaland Forum

[size=18pt]2011: Ojukwu canvasses support for IBB[/size]
By Tony Edike, Enugu
THE Ikemba Nnewi, Chief Chukwuemeka Odumegwu Ojukwu, was yesterday, reported to be in support for the presidential ambition of former military leader, General Ibrahim Babangida, in 2011, saying he would support him as far as it was the desire and aspiration of the people of the country.

http://www.vanguardngr.com/2010/05/2011-ojukwu-canvasses-support-for-ibb/

nku5:
@oyb -just dey thank your God say dem never turn your region to "red zone" like they turned the se. In onitsha there is a checkpoint every few metres and the slightest squeak of noise in the name of protest always ends in a bloodbath. Secondly our leadership has always been d worst. Enugu state governor orders everybody to work and suddenly the NLC leader in enugu state is whisked away gestapo style. I thank God that people are starting to dare the powers that be. This morning I got feedback on BB that owerri was waking up with their own marches. We never get freedom like una for south west but na small small. Just watch and see

karl max:
So Ʊ want tell me that the naira to dollar rate has not increased since 2008?

Answer this primary school questions

What is the exchange rate of the dollar to the naira in 2008 and 2011?

newsnaija:
This is the average price of Brent on Platts in $/bbl

Year Crude Price ($/bbl)
2005 54.5
2006 65.1
2007 72.3
2008 97.5
2009 61.5
2010 79.4
2011 110.1

Actually prices in 2011 almost hit $130/bbl at a point in time;
2009 was a bad year for crude prices after the spike in 2008 when oil prices hit like $149/bbl around July 2008.
2009 prices was so low that there was a time 2009 when the Landing cost was even less than the Official Pump price of then N70 which meant there was no need for subsidy, thus prices then was reverted back to N65/L from N70/L if you can remember,

Consumption in 2009 was much lower, cant give an authoritative exact figure either for PMS or Kerosene, but another thing you should note is that increase in smuggling was a major driver for the increasing demand for PMS and Kero because of high price differentials across the borders between Nigeria and neighbouring countries.

Olodostein:
Shouldn't you be busy sucking your dirty BF balls and cooking his next meal?

No, we are not TRAITORS and HYPOCRITES like Yoruba and omo mgbati mgbati people. We have a mind of our own. We don't talk unnecessary like you COWARDS.  We calculative and act when the time is very very right.

Donalds N:
Guys who are ready 2listen 2voice of reason hv already listed all d reasons d subsidy snowballed in d last 1yr.can u count d no of times dia was fuel scarcity during obj's time coupled with irregular prices?Who can count d no of times dia has bn fuel scarcity since GEJ took over even at a regular price?What do u think was d magic dat cleared all d queues in our filling stations in d last 1yr?Definitely dia was increase in importation 2satisfy d huge demand of d product.

Again,when price of crude oil increases in d intl market,don't u think it would probably double or even triple d cost of d refined prod since dia is no regulatory body for d price of d refined products?won't dis cause increase in subsidy paid?(Note: 2yrs ago,oil was about $81/barrel but rose 2btw108-$128/barrel in last 1yr)

On March 5, 2008, OPEC accused the United States of economic "mismanagement" that was pushing oil prices to record highs, rebuffing calls to boost output and laying blame at the George W. Bush administration.[26] Oil prices surged above $110 to a new inflation-adjusted record on March 12, 2008 before settling at $109.92.[27] On April 18, 2008 the price of oil broke $117 per barrel after a Nigerian militant group claimed an attack on an oil pipeline.[28] Oil prices rose to a new high of $119.90 a barrel on April 22, 2008,[29] before dipping and then rising $3 on April 25, 2008 to $119.10 on the New York Mercantile Exchange after a news report that a ship contracted by the U.S. Military Sealift Command fired at an Iranian boat.[30]

On June 6, prices rose $11 in 24 hours, the largest gain in history due to the possibility of an Israeli attack on Iran.[31] The combination of two major oil suppliers reducing supply generated fears of a repeat of the 1973 oil crisis. The mid-July decision of Saudi Arabia to increase oil output caused little significant influence on prices. According to the oil minister of the Islamic Republic of Iran, Gholam-Hossein Nozari, the world markets were saturated[32] and a Saudi promise of increased production would not lower prices.[33] Several Asian refineries were refusing Saudi petroleum in late June because they were over priced grade.[34]

On July 3, "the Brent North Sea crude contract for August delivery rose to $US145.01 a barrel" in Asian trade.[35] London Brent crude reached a record of $145.75 a barrel, and Brent crude for August delivery peaked to a record $145.11 a barrel on London's ICE Futures Europe exchange, and to $144.44 a barrel on the NYMExchange.[36][37] By midday in Europe, crude rose to $145.85 a barrel on the NYME while Brent crude futures rose to a trading record of $146.69 a barrel on the ICE Futures exchange.[38][39]

In devalueing Naira 4rm 120 to150 in d last 1yr,don't u think it wl increase d amnt of naira used in buying same qtty of fuel?Won't Increase in population&importation of fuel-engine cars&generators increase consumption&demand of d product?as u all no, increase in dd=increase in ss.den increase in supply won't it cause increase in subsidy paid?

Organised corruption by officials of our petroleum regulatory agencies also contributes 2d matter.these officials enable some oil marketers falsify documents claiming 2have imported fuel wen it hadn't so as 2collect subsidy.wen d subsidy is collected&d demand persists,d govt,unaware of d fraud,den demands 4more importation which increases d subsidy.U all know how porous our borders are cos of dis same organised corruption, these powerful marketers smuggle d subsidized fuel in2 oda countries dat pay more 4fuel.(note: even In US, smugglers stil infiltrate dia borders wit contraband)

efisher:
Smuggling and corrupt practices could have caused up to 80% of the total rise. Who knows?

There's where the strong argument for subsidy removal begins. And it's also the same reason why Nigerians maintain that the corruption in the system should be fought instead. According to Sanusi, "it is an economic decision" but I may add, with very strong political and social implications.

efisher:
I speak like a doctor who is trying to treat a patient over the phone!

Most of these things have a multiplier effect. Assume each unique factor I mentioned increased by say 20% each for the year. What's the total effect:

Demand Rise x Exch. Rate x Supply chain factors x Smugglng rate x Price Increase = 1.2^6 results in almost 3x of total increase.

Once again, this is an assumption. I just hope you get the basic idea.

efisher:
@Dis guy, that's a valid concern too but let's point the searchlight on the power sector also.

1. Population has increased leading to direct increase in energy need.
2. Increase in "MW" most likely did not meet up with the increase in power demand.
3. More appliances, more businesses, greater awareness, more wealthy individuals etc all contribute to an increase in energy demand and ability to meet it.
4. More generators imported as mentioned earlier.

efisher:
Iweala did explain on AIT yesterday. Can't type much now but the following are all part of the equation:

1. Increased domestic demand for transportation (Commensurate with increase in number of imported / new cars within the period)
2. Increased consumption for powering generators (Also commensurate with generator imports)
3. Increase in oil price leading to increased price of petroleum products. Note that price was kept constant at N65 all through.
4. Exchange rate factors.
5. Pseudo-demand due to smuggling / other corrupt practices.

She didn't give figures anyway. If only we can see the figures and do the calculation ourselves, we can really see how the "blame" should be shared.

One of the greatest problems is our inability to quantify our actual market size (i.e demand).

By the way, I'm no govt official. I just regurgitated what madam said and garnished it with my own knowledge.