₦airaland Forum

ppogba:
Shameless indeed.

We have a problem and you think embarking on a strike will solve the problem?

Perhaps, may be it will the way ASUU strike that kept students at home did.

For your information, we are in it today.

This just shows the depth and level of your thinking. ASUU went on strike because of the decay in the educational sector and failure of government to respect a 9yr agreement till date. Ngige and co subjected students to that not ASUU.

ppogba:
We will tell Ngige to give them the ASUU treatment

How shameless can someone get? Don't you have a family? Are they buying fuel at 10 naira per litre?

Perfectbeing:
Don't be emotional.. Cos Obi is surplus here does that mean that Government mine it from the ground free of charge?

Have you considered the cost of bringing out crude oil from the ground?

Bros read what I wrote again this time with understanding. This is not about Obi. These are real life solutions that can be applied to the betterment of the society. Let's not bring politics here. There are several interests in the downstream oil sector that want to be paid in dollars for their services in spite of the fact that they are making huge profits at our expense as they share in the income the fg makes producing crude. If the FG decides to denominate their operations in naira, they have the option to either comply or exit. I am sure there are several oil companies who would be eager to take their place.

I didn't say 30% should be given out for free. I said it should be sold in naira to refineries for domestic production. This will in turn insulate the economy and fuel prices from fx fluctuations and ensure stability of local prices. Selling it at local prices would still cover the cost of exploration but last last the oil is still Nigerian owned and the government has every right to determine how much is sold and how much is exported.

Perfectbeing:
Don't be emotional.. Cos Obi is surplus here does that mean that Government mine it from the ground free of charge?

Have you considered the cost of bringing out crude oil from the ground?

Bros read what I wrote again this time with understanding.

I didn't say 30% should be given out for free. I said it should be sold in naira to refineries for domestic production. This will in turn insulate the economy and fuel prices from fx fluctuations and ensure stability of local prices. Selling it at local prices would still cover the cost of exploration but last last the oil is still Nigerian owned and the government has every right to determine how much is sold and how much is exported.

Latakia:
Your Obi Pandora is a scam and failure that did nothing to improve a small state like Anambra. Moreover, the clown also promised to IMMEDIATELY remove fuel subsidy nah

You people should stop peddling this propaganda. In the video where he said he would immediately remove subsidy he went on to clarify HOW.

He clearly said that the first thing he would do would be to address the inflated daily consumption figure that NNPC is claiming of 70million litres that subsidy is paid for and would ensure same is slashed immediately by 50%! He also talked about modular refining and things like that. Watch the full video and be educated.

When provision was made till June in the budget what was the rush to make the announcement on subsidy removal especially as Dangote fuel is supposed to hit markets in July? Why did he not rush to announce the palliative measures first and put them in place before removing the subsidy?

That's the difference between Obi and BAT. One is thinking of the HOW because he has the people at heart the other one is not thinking of the pains the people would go through.

I will give you another example of the role of government. Let's look at the FX problem in the country. Few months back, dollar was rapidly increasing against the Naira until it almost got to N1000 then government sent security agents to the streets to tackle the black market dealers, arresting many of them and getting them to disclose where they get their dollars from. Within a week dollar fell from almost N900 to N700 and has since then remained around 750.

When government is serious about tackling the oil smugglers no stone will be left unturned in driving them underground instead of subjecting the people to more suffering with over 60% under the poverty line and record unemployment rate.

nairalanda1:
That's because they number in the hundreds of thousands.

It is not just big men, and big cabals. Thousands of nigerians steal from the subsidy every day.

Jailing them won't stop the stealing. New people would step into the rift. The way forward was to destroy the system by removing its basis. Subsidy

BS as usual from you.

Is it only Nigeria that has borders? How are other countries able to manage their borders and eliminate smuggling?

Why do you think armed robbery is on a decline while yahoo is on the increase? People will exploit a situation until stringent deterrents are put in place then most will look for alternatives except the foolhardy ones of course. Armed robbery in Nigeria will get you a minimum of 10yrs to life but Yahoo will get you a maximum of 3yrs. Which crime do you think will be more attractive?

If the death penalty is attached to smuggling like is done in Thailand for drugs and same is applicable to conniving government officials do you think smuggling will decline or not?

We all know the truth but as usual peddle propaganda to further the wrong motives of the cabal in the oil industry.

Now let me ask you another question. Now that fuel is N500 avg, will fuel stations now start dispensing fuel accurately? Will their 1 litre now actually be 1 litre? Will government actually step in to enforce this?

nairalanda1:
Oga, I have been doing this for eleven years. And I have read that article, and responded to it.

If you want subsidy, we have only these things to do

1.Pray that oil raises to $130 per barrel OR

2.We all pay higher taxes, and also make sure everyone pays taxes.


(Countries that have subsides pay for them via taxes. We don't).

Well I have been on this for over 15 years so that's nothing special.

Price per barrel should not influence our domestic oil production. That's why we should sell in naira to refineries here. In fact if we start refining and boost our refining capacity we will benefit from oil price rises as we export the excess refined product to other countries at international prices.

Bros please read about progressive taxation and how adopting the right taxation system can grow the economy and vice versa. Also we need to first ensure that government agencies are actually remitting all they generate. Corruption again. So many corporate bodies and wealthy Nigerians are undertaxed or not even paying tax so the effectiveness of the tax system also needs to be examined and refined.

So much to do if this government is serious about getting it right and moving this country forward.

nairalanda1:
]

It isn't and you did not answer because you know your answer would be no. And if it is no, your support for subsides on petrol sounds problematic.


Even if we do all those things, and we should....the problem of the difference between the subsidised price and the cost of production rising AND the rising number of consumers is STILL there.

And the more both rise, the more it eats into our limited revenue, and the more the subsidy grows, the more it reduces our revenue...and forces us to borrow more and more to cover the resulting deficit.

See, the problem with subsidy is that it costs money to refine petrol. Unless you want to force domestic refiners to refine fuel at a loss making cost, or force crude oil extractors to sell at half the price to refineries, or you want to make people who own refineries start skimping on refining costs, there is no way you can adequately subsidise fuel.

The prooblem is people need to make a profit, to cut a long story short, to run businesses, including refineries, effectively.

And if they refine at a profit they have money for jobs, which helps the poor greatly.





Welfare...is what it is called.

But the problem is, welfare is funded by taxes. And in Nigeria, less than 40% of eligible people pay tax. Our tax to gdp ratio is lower than even Niger Republic self.

Poor income from taxes makes us rely on oil...which is not enough to give us an sustainable income. And NO, i AM NOT EXCUSING CORRUTPION...the corruption makes things worse.




Which our petroleum sector does in things like scholarships, community development projects and roads and so forth.

Please read this and educate yourself.


https://www.nairaland.com/7713443/president-tinubu-dangers-fuel-subsidy


Any responsible governments duty is to ensure the welfare of the citizens and not vice versa.

nairalanda1:
Will you sell your goods and services at a subsidised rate to help the poor then?

Waiting for your reply.


P.S The problem with subsidy is the differential between the production price and subsidised prices. It always grows due to inflation, people wanting better salaries, cost of doing business, etc. And it keeps growing. Another thing that causes it to grow is the increased consumptrioon

You can stop smuggling, and corruption and stealing, but the above cannot be stopped.

And selling crude in Naira? Won't help at all. All you are doing is still paying the same value....in naira.

At the end, the subsidy grows, until it eats up incoming revenue, and you have to borrow and borrow to keep up. And when that happens, problem starts.

Like now.

I didn't reply because it's a faulty question to start with. You have not been able to give any meaningful response to the points I raised however.

If you had bothered to read what I wrote you would have seen that removal of the subsidy is not the issue but the timing of the removal and the fact that there are a whole lot of things government is supposed to resolve before removing subsidy like fighting corruption and smuggling, ensuring transparency and accountability as well as getting our refineries working and providing all the necessary governmental support to ensure cost of production is as efficient as possible as this ultimately will reflect in domestic pricing and profit margins. It would also reduce our FX demand which will help strengthen our naira as exports of oil and refined products will drive FX inflow and boost our reserves. Hope you now understand the need to supply crude oil to refineries in naira? PPS selling crude to refineries in naira will also free up more needed FX for other sectors of the economy.

Objective of government is to serve the people and provide an enabling environment for businesses to thrive.

No individual will open a business to run at a loss. However the individual can put together packages and programs to give back a certain percentage of his profits or wealth which is the corporate social responsibility I alluded to earlier.

justmondris:
You done tire? Dey ask me jamb questions idiot

When people with sense are talking you should keep quiet so that you don't expose your foolishness.

It's people with low brain capacity that resort to insults instead of stating their positions logically and responding to opposing views like adults with sense and proper upbringing.

nairalanda1:
If you want the subsidy, you can run for office and get it back.

Well... I'm sure you have seen that there is no sense to your argument for subsidy removal.

nairalanda1:
Take away the inflation, and the subsidy would grow because of the rising differential between the cost of production and the subsidised price.

This makes no sense because... Rising cost price is largely determined by inflation and fluctuations in the international market. To insulate the country from this, a portion of our daily crude output should be made available to domestic refineries in naira to cater to our local daily oil needs and the rest exported and sold at international rates. You are already seeing the inflationary impact of subsidy removal without any economic plan in place to mitigate its impact.

That's why subsidies in sane countries are limited, or are paid for from massive taxation.
Subsidies are usually made on essential commodities in sane climates yes whether in agriculture to ensure low food prices or in our case for fuel which is the life blood of the economy. Our problem in this country is corruption and the efficient use of our revenue. I'm sure if a comprehensive review is done of our budget, some expenses can be sacrificed to provide for subsidy eg.. cost of governance. But of course it's much easier to push the cost to the gullible masses to bear as usual.

If you want the subsidy back, run for office, and get it back. Don't bother me. Subsidy is why we don't have refineries for years....because.....and this is important....it wrecks the profit motive.
that's pure BS. Y'all should stop peddling this old propaganda. Our refineries refused to work because corruption was allowed to exist in our refinery operations. If we had chosen to commercialise or privatise them and allow them to be run by private individuals would the sabotage still continue? Why is it different when it's a government enterprise? Why did the same government invest in Dangote refinery to the tune of $4bn? Why not employ the same structure for the other refineries and ensure that there is no more need to import fuel? Is domestically produced fuel going to cost the same as imported fuel?

And you need to make a profit not just to live large, but to pay improved salaries, pay for refineries, old and new, pay taxes , etc.
More BS. You are talking about increased revenue when your government agencies have not even been efficient in generating current revenue and current revenue has not been efficiently used! Even with all the corruption, I can assure you that the customs service remains highly profitable yet we all know the massive income leakages at our borders. So much stealing and corruption in government is why we are broke and not subsidy! A serious government would choose to fight corruption head on a political government would instead look for excuses ergo... The subsidy discussion


Now, would you sell your goods at a subsidised price to help the poor.? Answer this question honestly.

[b]You have basically refused to answer the question of why government is unwilling to unbundle this mystery called subsidy and is instead intent on throwing the baby away with the bath water. How much should the subsidy actually be? Why is the inflated monthly subsidy figure accepted by government??

Subsidy arose in the first place because of a need to import fuel because our refineries were not working. Now the same people arguing as to why our refineries cannot work are silent as to why government invested $4bn dollars in Dangote refinery meanwhile our 4 refineries remain in the doldrums. They could not even take the bold step to commercialise or concession the refineries to interested individuals who are ready to invest to bring these refineries back up!

Oil is an essential commodity don't liken it to selling electronics or cars where profit maximisation is the goal. No matter how business minded you are I can assure you that you won't sell your goods to your family members especially. There is something in business called Corporate social responsibility which you are aware of I'm sure. There are even tax concessions for businesses who engage in giving back to society even in capitalist economies.
[/b]

justmondris:
Please re ask the question

These are pertinent questions that sensible Nigerians should be asking.

Perfectbeing:
Having 100 refineries in Nigeria will not reduce price of fuel in Nigeria as long as crude oil is sold at international price.

If it will, why then are oil producing countries like Qatar and UAE with refineries selling PMS at 450-520 naira?

Some id!ots will leave the question I asked and started asking about the minimum wage of those countries.

Bros ... The crude oil is a free gift of nature. We can decide as a nation how much we want to sell the product domestically to refineries locally and internationally at OPEC prices. That's what we should do. We can decide to sell 30% of our daily output in naira and the rest to the international market in dollars. I can assure you government will still make a very healthy profit. But there is a cabal that will sing the song that it doesn't work that way in the downstream oil sector as everything is denominated in dollars but to this I say that government decides on the policies and operating conditions for oil exploration in Nigeria and players unwilling to adhere to government's conditions are free to exit. We all know that several other oil companies will jump at the opportunity to take their place! I always use this adage that if you are a cassava farmer, you will not charge your family for the portion of your produce you use to feed them whilst taking the rest to the market to sell. It would be stupid of you to go and buy garri at the market when you produce it yourself.

I'm sure you are aware of the oil swap deals done by the government with foreign countries to reduce the FX spent on fuel importation?

In essence, there is no hard and fast rule about these things. It is the choice of government to subject their oil to international prices or not and every government seeks to do what is best for its people and not for the international market.

nairalanda1:
Removing subsidy wrecks the basis of their business

First of all it is common knowledge that the subsidy amount is grossly inflated. I am sure if you send someone to buy something from the market for you worth N10 and he tells you it is N200 you would investigate the discrepancy and not allow him cheat you. This is how nnpc keeps allowing marketers cheat the FG with an inflated monthly subsidy bill of N400b and no one is asking questions and stopping this fraud. Instead it is the common man that will beat the brunt as usual.

That is tantamount to cutting your nose to spite your face.

If you had a shop and you observed massive pilferage of your income by your staff, would you not sack the staff instead of shutting down the shop and your daily means of livelihood?

What is stopping government going after these thieves if they can go to great lengths to check bunkering and oil theft? Why should government turn blind eye to our porous borders? If they could fight rice importation why not this?

In a country where there is no infrastructure or social welfare in place to take care of the common man why should this last hope be taken away?

nairalanda1:
Oga, this is not propaganda.

It has been going on for years. That is how we keep losing money

And the same thing happens in Venezuela.....

Look, I know Tinubu and company are not the best we can do for this country...but this part is not propaganda. There are articles and papers and diagrams online that detail the extent of the smuggling problem.

Or have you forgotten the brave Customs officer who exposed what was going on?

Removal of subsidy has ended the cheating that some marketers were doing. Make them work hard for their money.

Uncle ... Why is it so hard to face the real problem which is to face the smuggling problem squarely and prosecute all those custom officials at the border permitting this smuggling to continue unabated?

BloomingDale:
They were borrowing to fund the subsidy.

They were borrowing to fund the inflated subsidy because
1. they refused to cut the cost of governance
2. They refused to block the leakages in the subsidy process by putting in place effective structures to ensure transparency and accountability
3. They refused to combat corruption
4. They refused to ensure the refineries became functional.
5. They refused to ensure efficiency of tax revenue generation to boost non-oil revenue.
6. By refusing to ensure the integrity of our borders and make severe examples of corrupt/compromised customs officials.

So many things they could have done before the removal of subsidy which they chose not to do. Instead they are feeding the propaganda that the county is broke and that we are subsidizing fuel for other African nations.

Have Nigerians not suffered enough?

We pay for our water.
We pay for our light.
Our healthcare facilities are nothing to write home about. Doctors are on strike.
Our educational system is a shambles. Soon ASUU will resume their strike.
Our refineries are not working.
Ajaokuta steel is still moribund.
We privatised the cement industry and now a bag of cement is approaching 5000 naira making affordable housing a mirage. Nothing being done to check the monopolistic tendencies of Dangote in that sector.
Bread which used to be basic food is now approaching N1000.
Rice is approaching N50,000 a bag
Inflation is at almost 22%
Poverty is at record high. So is unemployment.

God will help us. I pray the President turns all these around but in abolishing subsidy before addressing all these issues , before even rolling out significant economic palliatives, though it is quite early, it is frankly not encouraging.

clearcrystal:
Just arrest the head of the TUC and NLC, no time for nonsense.
We can't keep shifting the evil day, let's fate reality and move on.

NIGERIA IS BROKE.
BUHARI MESSED UP THE COUNTRY ALREADY.

BUHARI IS THE WORST THING THAT EVER HAPPENED TO NIGERIA, HE'S A COMPLETE DISASTER

Arrest the head of NLC and TUC?
Instead of arresting the cabal benefitting from the subsidy? This cabal that is emasculating the country and impoverishing the masses?

Shey your head no dey pain you?

nairalanda1:
Lord, this one does not get how destructive subsidy is.

Am out.

Please get out and stay out.

30 years ago IMF came and advocated for us to devalue our currency and to implement structural adjustment to better position our economy globally. Where has that led us?

Now the subsidy debate...... Pray do tell, is subsidy the only thing wrong with this country? What have we benefitted for the massive debt that has been inflicted on us by the previous government?

Again I ask.... WHY CANT THE GOVERNMENT WAIT 2 MONTHS FOR DOMESTICALLY PRODUCED FUEL TO FLOOD THE MARKET BEFORE REMOVING SUBSIDY?

nairalanda1:
If we keep the subsidy we would end up taking more loans.

Oga don't argue. I hate it that fuel prices will rise.but i also hate the deficits and debts we get from.this subsidy

Either we pay for the subsidy from more taxes or we pay at imf hq.

Oga I will keep arguing because already we are already heavily indebted so the IMF arguement doesn't hold water. If government can hurriedly apply for $800m loan few days to handover why can't they borrow to sustain subsidy until Dangote starts supplying domestic fuel?

Is it that there are no economic analysts in government to see what impact this will have on the country?

seborrhic:
We told them.
They expect Dangote to sell fuel at ₦250 or even ₦300 naira?
Clowns.
Ideally in a fully deregulated economy and other refineries operational,fuel should be fluctuating between 300-350,but with another Dangote monopoly set to come to play with a product as essential to the economy as water is to the body,expect ₦450-₦500 and when Dangote runs into production hitches,as may happen from time to time,you all should brace up to a point before the next 1 year when fuel would sell for ₦800-₦1000/litre.

Bros we have had this discussion before. There is a reason why the FG through the NNPC has some shareholding in the Dangote refinery project. Costs can be significantly lowered not only by elimination of importation costs but also by the supply of crude to Dangote by the FG in naira instead of dollar.

But will it be done? Your guess is as good as mine. The dangote refinery can ensure cheap fuel to Nigerians or be an avenue for the privileged few who are stakeholders to continue to pillage our national resources and continue to share the national cake depending on the role of government in checking the monopolistic tendencies of Dangote. Yes Dangote may be the largest refinery in Africa but that doesn't foreclose government from tasking all these tank farm owners and fuel importers to set up small scale refineries all over the country. That's when true deregulation will kick in and not cartelization or monopoly that seems to be plan as things stand. If Dangote wants to sell his fuel domestically for N500 and other refineries are selling at N400 he would be forced to either crash his prices to compete or export his fuel to other African countries.

nairalanda1:
Well, at the end of the day, it does not make sense to keep on paying for subsidy.

Unless you want us to take more and more loans.

Subsidy must go now, or we would pay for petrol at IMF HQ, at a cost that would surpass anything you ever knew.

We have already taken several meaningless loans that our great grand children will have to pay why not wait until the refinery starts producing to remove the subsidy?

Has our debt in the last 8 years not quadrupled several times over with nothing to show for it?

If the government had even borrowed to completely renovate the 4 refineries in the last 8 years and privatise them or commercialise them would we still be having this subsidy discussion?

We are just barely 2 months from Dangote take off and you abolish subsidy with no safety net for the people. Is that not madness?

Make it make sense.

dmostcheerful:
Go and sit down, I don't support Tinubu but subsidy must go.

The question is not If it should go but how it should go.

Subsidy came about because we were importing fuel.

If our refineries are able to meet our domestic needs then there would be no need for subsidy quite simply put.

Dangote just opened shop. They announced that their fuel will hit the domestic market in July and already subsidy is being removed. Is that not prelude to disaster? Till date we are still battling inflation caused by the border closure and COVID in addition to poor economic policies and now we are complicating same by the timing of the subsidy removal and the absence or lack of palliatives to ameliorate the expected economic shock it would cause.

This is like cutting one's nose to spite your face.

nairalanda1:
The subsidy removal announcement has been there for months, ever since the past government said that they won't fund the subsidy beyond June.

At the end, Tinubu just confirmed what has been old news. He won't continue the funding.

Oga, you want us to borrow again to fund subsidy? Shey you know that Obi and Atiku too were saying that subsidy has to go in their campaign.?

God knows I hate this new APC government, but on subsidy we got to face the reality, or we keep lying to ourselves at the expense of a growing deficit.

Bros I know this is a public forum but at least try to make sense.

Has Dangote's refinery started supplying the domestic market to ameliorate the effect of imported inflation from the imported fuel?

What social safety net has been provided to the masses to cushion the effect of the subsidy removal and the spike in inflation that would occur as a result?

For six months the Buhari government could not come up with agreed modalities to systematically phase out subsidy whilst making available palliatives then someone just comes and makes pronouncement overnight?

Is that how economic policy is formulated and implemented in same climates?

Unfortunately we are moving to Buhari pro max! May God help us all!

helinues:
Hundeyin, I dey pity you in advance oo

You go eventually tell us who be your father for Yoruba land. Just wait

You get papa at all?

Paid agents of discord. They shall surely fail.... Nigerians see through all your shenanigans.

Xlogistics:
My name is John. I got back from work on a Friday evening, I was on a bike to my residence when I remembered I did not cook a day before, I literally had no food at home, I told the Okada man to drop me off at a roadside restaurant in my street. After eating egusi soup and 2 wraps of Santana, I was full, and that should carry me till Saturday morning when I planned to cook.

I left the restaurant, I was contemplating of going to the nearest Ashawo joint or just go back home and do soapy. Going to the ashawo joint felt like a better plan. So, quickly rushed home to shower and put my place in order just in case I bring one of the ashee to my residence for away match(if you know what I mean). I got home, showered and I called my gee to meet me up at the joint, he told me he wasn’t free. WE MOVE REGARDLESS

The joint was just in the next junction, I was on my way when I saw this light skinned girl standing alone, she was very pretty and sexy too. I knew she was working at the joint, I walked up to her. I asked “how you Dey na fine girl” and she replied with a gorgeous smile saying “ I am fine o”. We had a brief discussion and we agreed on a fee.

I got some bottles of fearless and bullets. When we got to my residence I told her to get comfy while I turn on the generator.



/:/::/ A DAY BEFORE. //:/::

I saw an Aboki selling all forms of man-power on a wheel barrow. I got 2 packs, I don’t usually last long in bed so I was thinking this should be my support system till I get over the “1 Minute man madness”.


/:::/;//BACK IN MY ROOM WITH-THIS GIRL. /://:/:/

After having some random conversations with her, I took one bottle of fearless and bullet to my room. I mixed it, I mixed it together with the sex enhancer I got the previous day. I drank the bullet/fearless/burantashi mix. While sipping my mix, I was feeling some kind of way, I should have stopped but the stubborn me kept going. I finished the mix and I went back to meet the girl. She was all smiley as usual. It was time, time to play the first match, we were doing the usual when I felt I sharp pain in my chest. I should have stopped but the stupid me did not. We continued not until the sharp pain came back on, I couldn’t breath properly, I was feeling very dizzy, my legs and hands were shaking so bad.



Part 2 coming up shortly.

Where is the part 2?

BrightDr:
Excellent response Garba.

Bill Gates dropped out of his own free will. He was not rusticated like Adamu Garba. Note the difference

darkkknight2010:
Obi = Kolanut in Yoruba language.

You know what kolanut symbolizes in your tribe.

It is like an unripe kolanut has been used to swear on that your miserable kolanut head at midnight at a junction in Afaraukwu, Abia State.

Because, your abysmal ineptitude, mental myopia and mischievous self-inflicted ignorance are phenomenal calling for indepth scientific investigation.

At this rate, if you see someone more daft than you are, you will arrest him/her for stealing your mandate and position as World's Daftest.

This market you are pricing will soon end in tears.

Homo habilis jati jati

Awon irankiran eda

It's like the ban you received from mods never do you.

Simple thing engage me with your so called 2009 profile you no fit. You're here barking like a dog with rabies.

Troll.

darkkknight2010:
That 2009 that you registered here on NL I was already a car dealer here.

Sold over 40 cars here.

If at your age as you claim, Toyota Matrix is what you are grappling with and can not walk into a show room to buy tear-rubber. Tell me who is the jobless one?

You want to roll in mud. Let's go.

You obviously know that you are not talking to your mate.

Homo habilis jati jati

Oya nau use that 2009 profile to engage me not this fake account. Closet homo