₦airaland Forum

playboy19:
Sir, you have asked a very valid question that any sensible Nigerian should be asking but unfortunate, politics wouldn't let you get the answer. You may think Nigerian business men were not thinking about building refineries and all the benefits that comes with it, but politics wouldn't let it happen. Like i said earlier, the whole subsidy thing is a large and long standing fraudulent scheme called the 'Nigeria political compensation scheme'. Let me quick give you an example, go back to your archive and check out the 2011 'Friends of Jonathan' presidential campaign fund-raising programme and match the names of the people in attendance with the names of the people indicted for subsidy scam and see what you get.

These are the lobbyists. The ones you call the cabal. So sir, there, is your answer. Like a wise man once told me, buying is cheaper than begging, while stealing or taking is cheaper than buying. These people would rather falsify Bill of laden and delivery documents and get gauranteed fraudulent subsidy cash as compensation for their campaign investment than go thru the hassle and risk of doing the real business, which to me is dumb.

This is a very complex topic to discuss, it takes a first-hand experience of the whole thing to really understand it. Fortunately, Nigerians partially rose up to them and the result; the cabal has been broken back to the original 7. Now the rest have to really do the work and get compensated in another way. This answers why Dangote is suddenly interested in building an $8B refinery with majorly local 'partners'. It's a little complex sir. Just a little...lol

You seriously believe there is a cabal that steal your subsidy funds?
Nigerians will never learn

seangy4konji:
But please I have a baffling question cos I know little about this oil and subsidy things.

Can Nigeria not repair refineries or is it impossible to build new ones?are the old one programmed in such a way that once spoilt it cannot be repaired and companies who build refineries don't exist again?just honking an if anybody can help me with this question.

playboy19:
Dude... if you like quote the whole world, i still put it to you that you know nothing about this topic being discussed. There is nothing like a fixed global petroleum price. You only have global crude oil price. All countries set their petroleum prices accordingly. I will tell you this as i have stated it previously, 'There is nothing like subsidy in the first place. It is simply a scam'. I am in the industry and you can tell your finance minister or the petroleum minister to call me out on this. With or without government subsidy funds, you can import your petroleum products into this country and still turn profit.

At the moment, only 7 companies are granted allocations to import oil into the country on behalf of the FG and these are the ones who will share this N1 Trillion. Just 7 companies sharing N1 Trillion subsidy funds. All other companies are going to import and sell their own oil without receiving subsidy. Yet they're going to make massive profits. They were making massive profits before the increment from N65 - N95, so you can imagine the profit now, and this is them, without receiving subsidy funds. Call your connects in the oil industry (downstream) and verify this.

Moreover, all the oil imported into the country by these 7 oil companies are going to be bought from some 3 companies (Glencore, Trafigura and Vitol S.A) solely anointed by the FG. So stop feeding Nigerians with your simple and unintelligent logic or rather, some random facts from equally ill-informed journalists and get informed about what you pay for. Fuel subsidy has always been a scam, and a big scam it'll continue to be, until we all get informed and stand up to the government trying to lift it's 'fraudulent obligations' on the populace.

I wouldn't have wasted my time responding to Bushdoc if I had seen this post earlier, I like the part in bold, he read nonsense from a confused journalist and formed an opinion with it, it is a huge shame.
I have no doubt you have an idea how it works out there (downstream), so on the down stream part you are right, I am sure most Nigerians don't know that Major importers are praying for subsidy removal, how can I blame them? when the nitwit they voted as a president told them that the 2011 Ojota protest was sponsored by major importers.

The profit margin on AGO (unsubsidized) is so huge that a return of AGO subsidy can cause war in Nigeria, but hey! the average man on the street is too dumb to apply common sense. when the war is being fought, all you need do is to sell a lie and they will stand on any side of interest they don't even understand.

I don't agree that Subsidy is a scam, but I will say it is laced with corruption, but it is ok! for you to think so as a player in the downstream sector, Upstream sector will definitely have a divergent view because even products from our refineries are equally subsidized.

you need a downstream, upstream and political understanding before you can form an opinion on subsidy removal. thanks for not reading that clap trap article Bushdoc is selling to his ex wife

bushdoc9919:
The reason why we are corrupt is because we are an oil dependent society. Oil societies transform the government into oil money sharers.

That is why I support the removal of fuel subsidy because if the money can be channeled into industries et al.....we would get off oil and become an industrial society....and in an industrial society it is in the interest of the govt to make everything work (Keeps tax revenues high).

bushdoc9919:


I leave you, and every Nigerian with this quote....try not to be offended

Ten years from now, twenty years from now, you will see: oil will bring us ruin… Oil is the D/e..v..il's excrement

Ultimately I want the subsidy off because we are too dependent on oil. It is time we grew out of liquid food and went to solids.

But Nigerians too dey like Nutrend....

Oil is a curse.

bushdoc9919:
Refineries, basically refine oil into varied products....including PMS, Kerosene, etc.

You are just sad that I refuted your theory that a refinery cannot produce up to 40000bpd.

Anyways....Nigeria must get off oil. That is the ultimate purpose of my removing oil subsidies....to use the cash to spend on industrial support infrastructure.

But you Nigerians...govt, opposition, populace, etc....think the oil money will be there forever. It won't. We better start following China, Germany and Japan....and invest in industries...so that ultimately our GDP will grow....and then we would have the cash to subsidize whatever we want.

Not now, under this Dutch diseased economy.

bushdoc9919:
Well, ultimately, my palaver with subsidy is we are not producing enough to meet domestic demand. We produce 10 million litres per day for a demand of 35 million litres per day....which means importing 25 million bpd......and then subsidize the imported fuel at the pump!(Talk about throwing away money.)

Anyway, in my opinion, we need to get off oil....focus on industrial development...which is where the subsidy cash should be (ideally) spent.

bushdoc9919:
Well from this article on Wiki P...

In 2010, there were 149 operable U.S. refineries with a combined capacity of 17.6 million barrels (2,800,000 m3) per calendar day.

17.6 million divided by 149 gives an average of 118,120 barrels per day in each and every American refinery.

(Of course it is the US)

Modified at 12.44pm)

From this Business Day Report

in the first three quarters of 2013, the four refineries received 36.68 million barrels of (5,252,514 metric ton) crude oil from the NNPC to be processing into different petroleum products. This is equivalent to 100,482 barrels per day, 23 percent of the four refineries fully capacity of 445,000 barrels per day.

A breakdown of the 36.68 million barrels shows that Warri Refining and Petrochemical Company (WRPC) received more than 50 percent of the total crude sent to the four refineries, which equivalent to 55,062 barrels per day. The crude received is 44 percent of its full capacity.

The Kaduna Refining and Petrochemicals Company (KRPC) received 10.75 million barrels which translates to 29,458 barrels per day and 27 percent of its full capacity utilization. Port Harcourt Refining Company Limited (PHRC) received the least portion of 5.83 million barrels, translated to 15,962 barrels per day.

And this report from This day....proving my earlier point...

With the in-country refining capacity still a little above 10 million litres, as against Nigeria’s daily consumption of over 35 million litres and the dilly-dallying on critical steps required to boost the nation’s refining capacity,

Just like the “Prophet of Doom”, Thomas Malthus said, the population of Nigeria was increasing geometrically and the oil sector became unable to meet our pressing petroleum needs. Then importation began.

Sooner than later, NNPC could not keep up with the high price of petroleum product in the international market, then she began to borrow to pay subsidy. Before any one could say Babangida, Nigeria already found herself in massive debt.

Briefly, I would like to tell a non-fictional story of three countries enjoying fuel subsidy. The first country being Libya, In Libya, the pump price of petrol is about N16 per litre, with the global price being N156 per litre. This is an amazing N140 subsidy if the fuel was imported, yet Libya, under a Dictator was the country with the highest human development index in Africa, still Libya had no external debt. The second country is Egypt, a non-oil producing state. Pump price in Egypt is about N47 per litre, with great social economic packages. The most amazing of all of these countries is the third, which is Venezuela. Venezuela has the lowest pump price in the world; this is about N5 per litre (N151 variance from global price). Yet, she enjoys fantastic social economic programs which include; free education to university level, free medical services for all. Recently, 17 new Universities were established and absolutely free. In Venezuela, people rarely go to Hospitals; rather Doctors come to their houses to treat them absolutely free.(KEEP in mind that Venezuela and Libya have 37 MILLION people, and five million people respectively and are no 5 and no3 on the list of oil producers.).

The logic is simple, if any private company comes into this sector and produces at international market price of N156 and sells in an economy were government fuel is N65, the company will have infinitesimal or no buyer at all, no matter the quality of the fuel produced. Subsequent to all this, the only choice we are left with is the removal of oil subsidy. This removal will pave the way for the following good.

If oil subsidy is removed, Natural monopoly (by the NNPC) will automatically be destroyed, giving room for private companies and thus competition. Just as it was in the days of NITEL (Nigerian Telecommunications), before the telecommunication sector was deregulated and the door was opened to private investors and thus a revolutionary good to the Nigerian economy.

Just as it was then, when new companies flood in there will be an increase in price, SIM cards then were as high as N50, 000. In the face of competition, this dropped as low as N100. Same will be the case for oil, when the subsidy is removed, petrol may sell as high as N160 per litre, but when competition comes in it will drop to the barest minimum, possibly lower than N65 per litre.

The amount the Government pay on subsidy can be channeled to meeting social needs like free and quality health care and education for all. This is therefore a right step in the right direction, and is capable of helping Nigeria achieve her vision 202020.

It’s no news that the Nigerian oil sector loses 40% of her oil produce annually to the mis-managing hands of flaring.

When the price of petroleum product sky rockets within the first 6-12months after the removal of subsidy, Nigerians will look elsewhere for generation of Fuel. This will lead to the development of alternate power supply. This can help the solar energy sector thrive better. Also, it can help the coal industry find her foot in the Nigerian Market.

bushdoc9919:
I would like to thank everyone who responded to me, and who raised questions and comments that are really good.

I would like to reiterate that the main problem is that we spend a lot of money on subsidy and we import too much.

As this article, The Positives Of Oil Subsidy Removal puts it...



And to further sweeten the deal....



Una don hear?

Crixina:
u really think we don't have what it takes?

akumada1:
Negotiating with terrorists is not welcome in western countries and it should not be welcome here.

dgitrader:
how long do u think big players can manupulate oil price? And what what cost? And has it ever occure in history? Go and ask the almighty opec. My bro, its purely dd and ss.
btw, i know a little enough because i earn a living from trading oil, commodities and equities.

dgitrader:
the blame here, is on the person who ignorantly didnt know the fg benchmarked $72? Per barrel, but ur legislators jecked it up. Believing oil will always be above $100pb as in the previous years.

dgitrader:
u got it twisted
the finance minister appointed by GEJ has persistently fought for lower benchmarks, lower than 75$ /barrel. Google is ur friend.

Theres nothing political about the slump in oil price, as the conspiracy theorist claim. Why would the west use a strategy that break the back of S/arabia , canada, etc just to hurt russia? Oil price crash is purely economics, more supply plus lesser demand coupled with u.s production.
This development has been long anticipated. And yes... nigeria will be seriously battered by it. FGs revenue will start crashing sooner than expected.

Princecalm:
first of all the countries you mentioned were not up to six,secondly,it will only affect countries who are heavily reliant on export and Nigeria don't fall to that group.

dgitrader:
u got it twisted
the finance minister appointed by GEJ has persistently fought for lower benchmarks, lower than 75$ /barrel. Google is ur friend.

Princecalm:
With what i just read Nigeria can never get into that list.

kay29000:
Ofcos, close minded Nigerians, tribalistic people, and people with religious bias will say he is lying. But those that really know the truth know that this man is the least corrupt leader Nigeria ever had. The reason there is all these propaganda about him is because those thieves don't want him to get power. He is their worst nightmare. Buhari on seat will deal with the cabal of thieves, and they don't want that, so they will sponsor any propaganda against him and his party.


I am a Yoruba Christian, but Buhari has my vote.

cardoctor:
Not true. I had an Acura MDX that came to my workshop yesterday with the same code issue and once we replaced the o2 sensor the check engine light went permanently off and the code never came up again.

Car-Doctor.

nissparts:
If you have a catalyst code and you replace an o2 sensor, 99% of the time you would have wasted your money

HAVE:
The general rule of thumb is to replace your spark plugs with Original equipment manufacturer(OEM). Find below brands of plugs for different make of vehicles:
1. Denso and NGK plugs - Asian Vehicles
2. Autolite - Ford Vehicles
3. Bosch - German Vehicles
4. AcDelco - GM Vehicles
5. Champion - Dodges

timothy001:
I need to terminate my fix deposit in few days but the maturity date is next month,Can someone tell me if i will still have the full interest or what step do i take to avoid the big charge

jideolubiyi:
Maybe when you're done calling me ignorant and naive, you will realize that you're sounding scared, threatened by these other health workers. It takes someone scared out of his wits to consider that particular titles belong to you just because you are doctors. Are you kidding me! Specialist status doesn't belong to any group of people. It's the warped political culture in the country that encouraged the unwarranted arrogance of employees like medical doctors.
So you think I'm naive, ignorant because I gave no hoot about calling a spade a spade? We shall all stand here and see how these all turn out... The time is already ripe for the public to get involved in this madness, this madness that allows some dumb-ass health workers to think they can do just what they like. We are going to see more of what happened in Lagos, and by the time many of the hospitals are privatized, as a private owners some of us will set your salaries strictly based on output and market forces...
You wrote as if the public is so unaware of goings-on at the public hospitals. I make bold to say that once the medical doctors become consultants it virtually becomes impossible for patients to see them again. They simply disappear from the stations. In short, they become less useful to the public than before they became that. Now, how does medical consultancy help us? Apart from the fact that tax-payers' money used in training your lots become wasted...Yes, we still have to continue paying their inflated salaries while they disappear from serving the public to manning their private clinics.
You can abuse the public, even accuse us of being ignorant and unable to read the happenings. Go ahead and do all that. You are all moving us towards privatizing the sector, and some of us are waiting for just that. If a nurse practitioner is more useful to a patient care, then she/he is going to be remunerated accordingly.... By then you will lose your hideous confidence in such catch phrases as "pay relativity", "government is the root of all the evil in the health sector", "doctors own the patients"... Your possession of medical license..etc will cease to be your claim to public respect, but your contribution to patient management as adjudged by the public, by the patients. And not by either of NMA or JOHESU.
And when private investors control the sector, we shall see who is really ignorant...the investing public or our medical doctors.
Clown!

Mastershiffu:
It is indeed absurd for people who are entrusted with the job of caring for the sick to embark on a strike action,in saner climes other labour unions embark on such strikes in the stead of doctors and it usually takes a lot for things to degenerate to that level.but hey this is nigeria where everybody thinks the doctor is the enemy on account of his presumed bloated ego and the only language the govt understands is strike. You do not seem to understand the dynamics of the public health sector of this country and so your submission smacks of naivete when you say doctors are "threatened". These arguments cannot be reduced to those 4 questions you posed. The fact is that in a HOSPITAL SETTING, there can only be one set of consultants or Attendings going by the US system,and these are people with a basic MBBS degree who have gone through many more years of training in a well structured and regulated scheme called residency training to make you the go-to guy in a particular field of medicine including but not limited to laboratory medicine,pharmacology, therapeutics and sports medicine.it takes years of hard work and resilience to go through this training and i promise you, starting it is not a guarantee that you will finish it when you will be awarded a fellowship of whatever college you trained under.this still doesnt make you a consultant.the govt has to have need for your specialization in any of its tertiary institutions, where you are then APPOINTED a consultant.your job description includes taking the FINAL decision as regards the management of any patient under your care, as well as training other residents under you. This is the standard worldwide. You can therefore imagine the bewilderment of nigerian doctors when their colleagues who in a HOSPITAL SETTING are at best technical cadre staff woke up one morning and sayed they are now consultants. They attained consultant status by no laid down rules, no procedure other than longevity of service.Doctors thought it was a joke until these people under their amorphous group of JOHESU secured a court order to that effect and the govt was forced to circularize this anomaly. Do not be deceived by the various definitions of who a consultant is. The truth is every body who works in a hospital knows that that term is beyond a rank as it encompasses that as well as the fact that you are the final authority as regards patient mgt.to buttress this further, a professor of chemical pathology who after his mbbs got an MSc and a PhD in chemical pathology and having been found worthy by his peers promoted to the rank of professor in an academic setting is still not a consultant chemical pathologist! This is because his theses at masters and PhD level narrows his area of specialty unlike the doctor who has a fellowship in any of the colleges who has been trained in a HOSPITAL, to not only write theses on any field of chemical pathology but to understand these studies as it affects living patients daily. This is what these JOHESU people want to get by political gerrymandering and unionism. It doesnt work anywhere and nigeria will not be the first.

fab04:
Only a university with the name "Nanyang" can do that

FLYGERIAN91:
what can i say Never judge a book by its cover.... I dont know why Nigerians believe you wont succeed if you dont take school seriously..... How about she on her own part tries to get the guy focused instead of whinning??

nurey:
I recently bought a brand new tire double king size 205/70/R15 goes for #10,500 while 215/70/R15 goes for #11,000.
A transporter using toyota picnic says the tire is durable he uses his car for carrying heavy loads and recommended it.