₦airaland Forum

Subsidybad21:
We did.

Gej for example increased prices from N65 to N141 in 2012

Peotests ledto a reduction to 97 naira and then to 87 naira by 2015(cost us 4 trillion naira in subsides to keep it there which is why GEJ wanted to increase the price from 65 to 141in the first place)

We always have. Or else if you were right fuel would still be costing 75 kobo today as it did in 1990.

75kobo in 1990 is worth a lot of money today, a brand new 504 was selling for less than 200k then, this present administration has increases PMS price severally and is still planning to do so, its not about the international market, but a consequence of excessive borrowing leading to devaluation of local currency, In 2011 I bought a new 5kva kipor generator for 130k, a Nigerian used one is currently selling for 180k today.

A Pentium 1 laptop which was practically extinct in 2015 has resurfaced on the market, why ? Many people can't even afford new Chinese knock off laptops, something they generally avoided buying in 2011.

This is a more detailed answer to you

quentin06:
All because of a racket that wants us to import fuel and ship them on trucks instead of pipelines and rail, they sight refineries far away from raw material, when basic economics say a manufacturer should sight their factory close to their raw materials to lower costs

.

1.DANGOTE is building a refinery. 4 other licensee's are building refineries. 20 others have licenses to build refinery

2.The reason why NNPC refineries fail is simple. Subsidies on fuel, and until 2013 on kerosene, diesel, and so on. Subsidies makes refineries not to make enough of a profit to operate properly. As a result you have losses. And because NNPC still pays its workers regardless of whether the refienry works or not...workers who are not invested in making the refineiry profitable since whether it works or not they still get paid.

3.The simple answer to this problem is allowing the market control the price of petrol, and also privatising NNPC. While this means fuel prices higher than N300., it means NNPC wuld be working harder for its money, and our refinerieis would work. Also, the 20 other licencees would be able to access loans to build refinereis from banks...since the banks are now sure of seeing their money

You see its not about the international market its about incompetence in leadership and greedy cartels, just like diamond cartels that hoard diamonds in underground vault to make the price of a cheap stone exorbitant.

No, it is about Nigerians wanting to buy fuel at N100 and below...when it should cost N300 and above. As a result, things like 1) smuggling to other countries where fuel costs more 2) scarcity of fuel to make more money on the black market 3) lying about fuel imports to claim subsidy money to balance the books...happens.

Read more friend.

I think I have read enough on the matter...since 2012

Here is a reason why cheap fuel is bad. In Venezuela, fuel costs the equivalent of N40 per liter.The country also loses $18 BILLION dollars annually to smuggling of the same fuel across the border, because fuel in its neighbours is higher in cost than Venenzuela. And it makes their economy worse

And the same happens in Nigeria

You want cheap fuel. Well, cheap fuel cost us partly N4 trillion naira between 2010-15. See why GEJ wanted to remove fuel subsidy, albeit partially?

quentin06:
75kobo in 1990 is worth a lot of money today, a brand new 504 was selling for less than 200k then, this present administration has increases PMS price severally and is still planning to do so, its not about the international market, but a consequence of excessive borrowing leading to devaluation of local currency, In 2011 I bought a new 5kva kipor generator for 130k, a Nigerian used one is currently selling for 180k today.

A Pentium 1 laptop which was practically extinct in 2015 has resurfaced on the market, why ? Many people can't even afford new Chinese knock off laptops, something they generally avoided buying in 2011.

1.Well in 2011, crude oil was selling at $100 and above per barrel. By 2015, it was selling at $75 ,. by 2016, $20 , today $71 . That is why your generator was cheaper then, as well as laptops....there was enough forex to buffer the naira, and we had more dollars flowing in in 2011 compared to 2021.

We were here before...take that peugeout you said cot 20000 in 1990...in 1982 it cost less than 10000 naira, in 1976 it cost 6000. Between 1973-82 OIL PRICES WERE higher than ever. Then from 1982, oil crashed, and we had a hard economic crisis...which led to us adopiting SAP to survivie in 1986..by 1993, we were running a deficit budget.

It is called the resource curse. Oil dependent countries all go through it. That's why APC not diversifying is sad and misreable.

All these money wey these people dey call... make dem just share am give everybody make everybody migrate go country of their choice. Then make dem sink the country of dem want

yaki84:
U just have to smuggle that name into ur distorted opinion so u won't lose out on this month allawee.

That name(GEJ) is unique. The surge in crude prices under him was more than enough to build 10 mega refineries like Lekki own.
He was busy building small structures to impress and secure his own political future. Now see where we are. Only God knows when his people will be back in Aso Rock again if they ever make it.

Subsidybad21:
1.Well in 2011, crude oil was selling at $100 and above per barrel. By 2015, it was selling at $75 ,. by 2016, $20 , today $71 . That is why your generator was cheaper then, as well as laptops....there was enough forex to buffer the naira, and we had more dollars flowing in in 2011 compared to 2021.

We were here before...take that peugeout you said cot 20000 in 1990...in 1982 it cost less than 10000 naira, in 1976 it cost 6000. Between 1973-82 OIL PRICES WERE higher than ever. Then from 1982, oil crashed, and we had a hard economic crisis...which led to us adopiting SAP to survivie in 1986..by 1993, we were running a deficit budget.

It is called the resource curse. Oil dependent countries all go through it. That's why APC not diversifying is sad and misreable.

God bless you for this important understanding.

Even Saudi Arabia is witnessing mass exodus of citizens and is no where as secure(financially) as it uses to.

Keemsleek005:
God bless you brother, some people will just type just to type.. It's either subsidy remains or price goes up or we wait patiently for d the private refineries to come to work or we find a way to rehabilitate the refineries. I think nigeria does not have the monetary capacity to build 4 new refineries for now.

We have it.

Subsidybad21:
This is a more detailed answer to you

.

1.DANGOTE is building a refinery. 4 other licensee's are building refineries. 20 others have licenses to build refinery

2.The reason why NNPC refineries fail is simple. Subsidies on fuel, and until 2013 on kerosene, diesel, and so on. Subsidies makes refineries not to make enough of a profit to operate properly. As a result you have losses. And because NNPC still pays its workers regardless of whether the refienry works or not...workers who are not invested in making the refineiry profitable since whether it works or not they still get paid.

3.The simple answer to this problem is allowing the market control the price of petrol, and also privatising NNPC. While this means fuel prices higher than N300., it means NNPC wuld be working harder for its money, and our refinerieis would work. Also, the 20 other licencees would be able to access loans to build refinereis from banks...since the banks are now sure of seeing their money



No, it is about Nigerians wanting to buy fuel at N100 and below...when it should cost N300 and above. As a result, things like 1) smuggling to other countries where fuel costs more 2) scarcity of fuel to make more money on the black market 3) lying about fuel imports to claim subsidy money to balance the books...happens.



I think I have read enough on the matter...since 2012

Here is a reason why cheap fuel is bad. In Venezuela, fuel costs the equivalent of N40 per liter.The country also loses $18 BILLION dollars annually to smuggling of the same fuel across the border, because fuel in its neighbours is higher in cost than Venenzuela. And it makes their economy worse

And the same happens in Nigeria

You want cheap fuel. Well, cheap fuel cost us partly N4 trillion naira between 2010-15. See why GEJ wanted to remove fuel subsidy, albeit partially?

why are you so obsessed with expensive fuel? Has the over priced cost of energy all over the world made it a better place? Why don't you tax the air you breathe?

Trying to make abundant natural resources expensive or scare sounds like a psychopath s way of reasoning.

STOP SUBSIDY. SHARE THE N103billion at N3billion TO EACH OF OUR 36 CONSTITUTIONAL STATES TO IMPROVE THEIR ECONOMY.

Standing5:
That name(GEJ) is unique. The surge in crude prices under him was more than enough to build 10 mega refineries like Lekki own.
He was busy building small structures to impress and secure his own political future. Now see where we are. Only God knows when his people will be back in Aso Rock again if they ever make it.

Crude price was 100$, do u know how much fuel was?
Crude price is hovering between 67-70$ now, fuel is 165naira.
Bulk of the monies made was invested in subsidy...
Imagine if crude price is 100$ Now, we will be buying fuel at 280 even with subsidy.
Yourlord n saviour is an extraordinary crook.

quentin06:
why are you so obsessed with expensive fuel? Has the over priced cost of energy all over the world made it a better place? Why don't you tax the air you breathe?

Trying to make abundant natural resources expensive or scare sounds like a psychopath s way of reasoning.

Well, the reason why things are expensive is that a lot of the money earned from making things expensive goes into paying staff salaries, so that they can have a good quality of life, and investing in equipment and other stuff that make things better, also things like transport and logisitics, and things like research as well

If that is psychopathic, I think I like that type of psychopathy

We have a working GSM system because GSM was very expensive in the initial period. If prices were controlled and subsidised like under the good old NITEL, things would have broken down well well. Instead, the GSM companies took our money and built our IT infrastructrure that today provides jobs to a level government won't have been able to do. Need I add that all the facilites were built without government money.

If you were running a business, selling stuff, and government came in and ordered you to charge less than the cost of producing that stuff because 'people are poor and we have to help them'...that means you won't make enough of a profit to pay your workers, pay your suppliers and pay the producers of the stuff you sell...and that impacts on a lot of people;'s livelihood. At the end of the day you engagfe in sharp pracitices to get rich enough to do all those things...or you go bankrupt and end up on the streets begging.

If I had my way, fuel would cost N20 per liter. But it would in essence make things difficult for millions of Nigerians involved in the petrol business, and it would also drain our country's resources to subsidies the thing to that level...to say nothing of the millions lost in subsidising the stuiff.


Things cost money. Because people like you and me have to make a living. It is sad, it is unfair...but people have to earn enough to survive. Notr everyone is a rich evil capitalist out to get you.

We lost our refineries and became a mass importer of fuel because we thought we could 'help the poor'. Helping the poor has cost us trillions of naira in lost revenue....and left us with a ruined refinery system, and many suffering anyway. And wrecked our economy. And gotten us into debt.

Tine we faced reality.

Liposure:
you need help

Why are u denying ur master, Buhari?
Zombie I still site u
How are u enjoying Buhari extra 4years?
Useful idiot!

yaki84:
Crude price was 100$, do u know how much fuel was?
Crude price is hovering between 67-70$ now, fuel is 165naira.
Bulk of the monies made was invested in subsidy...
Imagine if crude price is 100$ Now, we will be buying fuel at 280 even with subsidy.
Yourlord n saviour is an extraordinary crook.

Can I insult Mohammed the way you are doing ?

AstralBody:
Why are u denying ur master, Buhari? Zombie I still site u How are u enjoying Buhari extra 4years? Useful idiot!

big for nothing nincompoop

Liposure:
big for nothing nincompoop

4+4+4
Sai baba
Zombie!

Standing5:
Can I insult Mohammed the way you are doing ?

Do u know the meaning of insult?

yaki84:
Do u know the meaning of insult?

DOOkpogs

Kriss216:
But Buhari said Subsidy is scam pre 2015 General elections

You should know that Buhari is a scammer