Kobonaire234:


Because NNPC enforced official price is N179 per liter...meaning that the petroleum market as a whole loses N39 at least for every liter of fuel sold, since it cost them N218 to bring in that one liter . And it also means that government is finding it difficult to find that N39 per liter (especially since NNPC is finding it difficult to supply fuel...)

In 2011, at the end of the year...fuel was N65 at the pump, landing price was N99...cue scarcity, then government raised the price to N140, CUE Protests, then cut it down to N97....

Your own pattern is to be blaming the existence of subsidy for everything with many user account.
Subsidy that is not enough for one man to loot.

CodeTemplar:

Your own pattern is to be blaming the existence of subsidy for everything with many user account.
Subsidy that is not enough for one man to loot.

I'm afraid it is the truth.

Landing price is the cost, roughly, of what it takes to bring in fuel...which is N218 per liter.

The subsidized pump price is N179

The difference between the landing price and the pump price...in naira, is how much the subsidy costs...at least...to prevent a loss being made.

Basically, what the market is arguing, is that you cannot expect us to bring in fuel at N218, AND sell at N179 and not pay us subsidy, and expect us to still be in business.

Scary part, NNPC is not supplying fuel from their depots...because it is costing them too much to buy fuel at N218 and sell to the market for less than that.

At the end, either government removes subsidy, or raises the official price to N250, to allow the market make enough profit to supply fuel without stress.

If you don't believe me, sorry. You cannot do business at a loss, and you cannot support APC's imaginary subsidy economics.

You mean from #215 to #400 or what type of increase are they talking about now?

adenigga:


Source: https://punchng.com/Marketers-warn-of-possible-petrol-price-increase

They should kindly sell for 500 per liter....useless country

900warriorz:
Vote Tinubu or Atiku and watch your supposed to be sensible life as a Nigerian vanish

These old men have nothing to offer, we've tried them over and over again. Give a youth with ambition to work a chance, una no go hear

Later, na una go wail pass just like Buhari supporters are doing now

Where is the youth in the race?

Sleekfingers:




They should kindly sell for 500 per liter....useless country

Which if they do, it would end

1.Smuggling

2. Corruption in the subsidy regimen

3.Make refining fuel at home more attractive.

4.Help NNPC make enough profit to repair and keep its refineries running

5.Save forex...which means the naira appreciates after a while.

6. Save a lot of money for the treasury.

Only downside..

High prices for a while...

Aareakinwunmi:
Naija matter don tire me, no Good news anywhere

Where are the Ministers and their efforts to help the Masses?
-you are no where to be found now,as you don't even know that Masses are suffering -
- No Fuel,as December period is around the corner!
-No Light
- No good Roads
-High Inflation everywhere!
- Minister of Labour,how many jobs did your Ministry Create?
- Minister of Power,why are there consistent Blackout in Lagos and the entire Nigeria,over the past eight Months especially Ikorodu Areas, even though we have Egbin -Power -Station in Ijede?
You people are so fraudulent that,your ladders only create money for your Pockets!
- Minister of Economics,please what is the Budget performance of financial standing of Nigeria?
What we are asking as the Masses have nothing to do with the party we belongs,since you are the person in charge!
The current situations is unacceptable and something urgent should be done to ameliorate it!

Shey the one that has already been increased or which one?

The questuon we shoulf ask is who is the petroleum minister

Atleast to address and reduce all mistake and fault found in the office of the ministers

We are not fool anymore

900warriorz:
Vote Tinubu or Atiku and watch your supposed to be sensible life as a Nigerian vanish

These old men have nothing to offer, we've tried them over and over again. Give a youth with ambition to work a chance, una no go hear

Later, na una go wail pass just like Buhari
supporters are doing now

Who is the youth….is it 61 yr old Peter Obi?

vikstandon:
You are already selling #250 in my location even when you were receiving from NNPC.
Now you are threatening to increase it further... Please do your worst, we no go die.

Nairalanders, what's your survival instinct?

That is all Nigerians know to do.... experts in survival, but lazy minded in every other aspect of life like exorcising sentiment and bigotry from their DNA.

Can the black man organise himself into a viable community of peoples..... a big no. Continue 'surviving' instead of doing what is right.

emmanuelbrown26:
We go buy am like that, na today? When 15 million idiots from afonja land and almajiris voted for an illiterate that does not hv any tangible achievement in his lifetime after leaving office in 1985, or same idiots from afonja land that are clamoring for another ancestor to take over, yet u will see them on d road begging from morning till night.
D humanity in me left after 2019 General elections, once I see somebody in need of help I would always walk and pass bcs same idiot begger followed those that voted dis calamity and same idiot is equally warming up to vote for another ancestor.
Na here everybody go enjoy d real change

Exactly. You can say that again.

emmanuelbrown26:
We go buy am like that, na today? When 15 million idiots from afonja land and almajiris voted for an illiterate that does not hv any tangible achievement in his lifetime after leaving office in 1985, or same idiots from afonja land that are clamoring for another ancestor to take over, yet u will see them on d road begging from morning till night.
D humanity in me left after 2019 General elections, once I see somebody in need of help I would always walk and pass bcs same idiot begger followed those that voted dis calamity and same idiot is equally warming up to vote for another ancestor.
Na here everybody go enjoy d real change

If you were a baker , and you baked bread at the cost of N1200 per loaf, and you sold it to the market at N1500 per loaf, making enough profit to keep your business running, would you agree if the government came and told you to sell the same loaf that you made at the cost of N1200 to the market at N500 per loaf?

Would you?

I no like Buhari, but even if we voted him out in 2019, the price of fuel would still rise. It is impossible to keep fuel cheap indefinetly. If we even kept fuel at N87 per liter , we would have been paying a subsidy of N130 per liter, up from N50 per liter in 2015, just to keep fuel very cheap today....at the cost of all our budget....

Buhari is a bad leader, and one of the bad economic decisions he has made is not removing subsidy completely.

Kobonaire234:


The problem is, the cost of fuel...ie producing and transporting it...has risen beyond where government can keep subsidsing it at N179 per liter...hence prices have to go up or else.

The thing should enter 1,000 naira per litre. Nigerians will survive.

orisa37:
Nigeria oil marketers are worse than senseless Apes.
They are still getting Subsidies and yet threatening oil price increases.

Be realistic for once. The NNPC is the chief saboteur of this country. Why are we not refining here?

meobizy:
The thing should enter 1,000 naira per litre. Nigerians will survive.

It probably won't. That only happens in places like Hong Kong....and the Netherlands (where fuel is refined at very ultra high standards).

NNPC says fuel may cost N492 without subsidy. (as at September). In Ghana it is above N600).

Subsiding fuel costs money.

Kobonaire234:


Which if they do, it would end

1.Smuggling

2. Corruption in the subsidy regimen

3.Make refining fuel at home more attractive.

4.Help NNPC make enough profit to repair and keep its refineries running

5.Save forex...which means the naira appreciates after a while.

6. Save a lot of money for the treasury.

Only downside..

High prices for a while...

The money they are sharing among themselves abi?

Why can't the NNPC use the money they have been making from 1999 till date to repair the obsolete refineries?
They should continue. A day will come when the masses will go all out, killing them and their families. By then they will know the power of the masses, if we decided to speak with one voice......
.Nigeria is driving there. Hungry man is an angry......more than half the population is in a multidimensional poverty. They should continue......I only pity the next president. Cuz, if he failed to do the necessary......Revolution might happen

Jeffyblaq:

Well said.

That humanity really left me long ago..

I no longer care bout a thing...

Care for those that voted an illiterate?

poseidon12:


Exactly. You can say that again.

Na so ohhhhhh

Sleekfingers:


The money they are sharing among themselves abi?

Not exactly true.

Why can't the NNPC use the money they have been making from 1999 till date to repair the obsolete refineries?

Well, NNPC has not been making a profit for most of that time...because quite simply, selling fuel below what it costs to produce does not give one enough money to pay for proper maintenance.

Subisdy is meant to cover for the loss...something it fails to do because the cost of producing petrol always rises. (which is why petrol does not cost 15 kobo today as it did 41 years ago!).

Subsidy also means free money...which means ...stealing.

Finally, we waste a lot on subsidy since smuggling happens...because our fuel is cheap, and a smuggler can make a profit taking fuel in cheap, and selling at higher prices in the neighbouring countries...

decided to sp They should continue. A day will come when the masses will go all out, killing them and their families. By then they will know the power of the masses, if we eak with one voice......
.Nigeria is driving there. Hungry man is an angry......more than half the population is in a multidimensional poverty. They should continue......I only pity the next president. Cuz, if he failed to do the necessary......Revolution might happen

[/quote]


Well, yeah, that is what I hope for...revolution...but at the end, the new government would be in severe debt in ten years.

Because assuming a new government comes in, and cuts fuel prices to N30 PER liter, that means that its

1.Subsidy costs rise drastically...which eats more of the budget...which means a big deficit...that we have to take loans to cover up.

2.Dangote refinery breaks down because Dangote cannot sell fuel at a loss...it would cost him at least N300 (my estimate) to produce a liter of fuel...and your new revolutionary government would force him to sell it at N30...a loss of N270.

3.Initially, the new revolutionary government would fund the subsidy by taking away all the looted money...and using that to pay..which would work till they run out of it. Next thing...people like you would be pa=ying half your income in taxes to the state tofund the subsidy...

4.Eventually, the government takes a lot of loans, and loses forex...meaning importation becomes impossible...meaning that bare essentials run dry, and prices go high (Note that even for manufactuing we need a lot of imprted raw materials)...and then you have shops that are selling nothing....and a black market that sells 50kg of rice for N150000 or more.

At the end, you get a country worse than Venezuela....or you manage to keep things working...and get a debt that is four times or more than our current debt...

Then the revolutionary government would try to remove subsides....

Kobonaire234:


If you were a baker , and you baked bread at the cost of N1200 per loaf, and you sold it to the market at N1500 per loaf, making enough profit to keep your business running, would you agree if the government came and told you to sell the same loaf that you made at the cost of N1200 to the market at N500 per loaf?

Would you?

I no like Buhari, but even if we voted him out in 2019, the price of fuel would still rise. It is impossible to keep fuel cheap indefinetly. If we even kept fuel at N87 per liter , we would have been paying a subsidy of N130 per liter, up from N50 per liter in 2015, just to keep fuel very cheap today....at the cost of all our budget....

Buhari is a bad leader, and one of the bad economic decisions he has made is not removing subsidy completely.

That's just d summary sir, Buhari has being a failure right from time

They are bent on making the last Christmas under the tenure of Buhari unbearable for the citizenry. May God punish the enemies of this country.

Depending on d area?

emmanuelbrown26:

That's just d summary sir, Buhari has being a failure right from time

And a sign of his failure is the refusal to remove subsidy and allow the market set the price of petrol.

And from your original post, it is like you support his (Buhari's) retention of the subsidy all this while...which is why refining at home is not profitable, unless you are dangote, and why we don't have domestic refining.

Even if Obi takes over, the best thing for the new person to do is remove subsides completely. Let fuel price rise naturally.

we're fully prepared to buy at any cost,
Jagaban will do the needful when he becomes the president ���

Kobonaire234:


Not exactly true.


Well, NNPC has not been making a profit for most of that time...because quite simply, selling fuel below what it costs to produce does not give one enough money to pay for proper maintenance.

Subisdy is meant to cover for the loss...something it fails to do because the cost of producing petrol always rises. (which is why petrol does not cost 15 kobo today as it did 41 years ago!).

Subsidy also means free money...which means ...stealing.

Finally, we waste a lot on subsidy since smuggling happens...because our fuel is cheap, and a smuggler can make a profit taking fuel in cheap, and selling at higher prices in the neighbouring countries...




Well, yeah, that is what I hope for...revolution...but at the end, the new government would be in severe debt in ten years.

Because assuming a new government comes in, and cuts fuel prices to N30 PER liter, that means that its

1.Subsidy costs rise drastically...which eats more of the budget...which means a big deficit...that we have to take loans to cover up.

2.Dangote refinery breaks down because Dangote cannot sell fuel at a loss...it would cost him at least N300 (my estimate) to produce a liter of fuel...and your new revolutionary government would force him to sell it at N30...a loss of N270.

3.Initially, the new revolutionary government would fund the subsidy by taking away all the looted money...and using that to pay..which would work till they run out of it. Next thing...people like you would be pa=ying half your income in taxes to the state tofund the subsidy...

4.Eventually, the government takes a lot of loans, and loses forex...meaning importation becomes impossible...meaning that bare essentials run dry, and prices go high (Note that even for manufactuing we need a lot of imprted raw materials)...and then you have shops that are selling nothing....and a black market that sells 50kg of rice for N150000 or more.

At the end, you get a country worse than Venezuela....or you manage to keep things working...and get a debt that is four times or more than our current debt...

Then the revolutionary government would try to remove subsides....

Well said

LincolnOnyeabor:
Nothing ever comes down in this Country.

Nothing at all, once it goes up, it hangs there and then continues it's trajectory again.


So Annoyingly Craaaazzzyyyy

Fuel prices came down once during Yar'Adua tenure(God rest his soul).
Best President so far..

Whobedatte:
Fuel that I bought N350 in Abuja few weeks , N285 in Minna last two weeks and N300/N350 on Sokoto just last week . Mtcheew
Only Kaduna price even make sense small at N245

Where in Abuja? Mr liar pls keep quiet.

Kobonaire234:


And a sign of his failure is the refusal to remove subsidy and allow the market set the price of petrol.

And from your original post, it is like you support his (Buhari's) retention of the subsidy all this while...which is why refining at home is not profitable, unless you are dangote, and why we don't have domestic refining.

Even if Obi takes over, the best thing for the new person to do is remove subsides completely. Let fuel price rise naturally.

U are making more sense sir and I concur

HenryWilliams:


Fuel prices came down once during Yar'Adua tenure(God rest his soul).
Best President so far..

Because oil prices were so high during his regime(as high as $145 per barrel in 2008!), plus the year before we had gotten most of our debt forgiven.

As such, we were beginning again on a clean slate. The money was there to pay off the subsidy.

ebbo:



Where in Abuja? Mr liar pls keep quiet.

Probably bought black market. N350 is the cost at the black market. In filling stations, it has remained at N179