justparamount:


These marketers are the real saboteurs. They are very greedy. 33k liters from depot was 4,889,771.25 while 45k liters was 6,667,811.25
That means selling at 195 will still give them profit even after transportation cost. These people just want to be making excessive profit per draft.

The thing is, the marketers are not buying at N172 from depot. They are buying from independent depots, whose prices are higher than 200 naira, and then they have to sell at N195.

Also, NNPC is struggling to keep prices below N200. Few months ago, NNPC ex-depot price was 145, now it is N172. That means whatever government is paying them in subsidy is not enough

Also, there is cost for transporters to be paid,,which is becoming more expensive because of the very high diesel costs.

How many persons were able to finish the writeup?

Kobonaire4:


Which is over 800 naira.

Cuz naira value is weak.

Kobonaire4:


That the fear of high prices prevents people from supporting sensible economic polices like subsidy removal essentially.

Perosnally, I back subsidy removal. I can see the marketers are operating at a loss, as the article puts it. High prices, on the other hand, scare a lot of people from backing it.

You're reasonable.

But the blunt truth is this, whether subsidy goes or not, Nigerians are certainly going to keep paying high prices for petroleum products, going forward. Subsidy is no longer sustainable. Even if the next government decides to pretend that they can keep it going just so they don't incite Nigerians to wrath, every other aspect of our daily existence is going to keep crumbling and the prices of petroleum products still won't fall.

The economics behind this is pretty simple. If I could make a thread on nairaland to comprehensively explain it in the simplest of terms, I'd have done so. I worked in the downstream sector between 2011 and 2019 and I speak from a store-room of sound knowledge, because I still have reliable information sources within the field.

Nigeria needs to get rid of petrol subsidy! It is the only way forward. But it doesn't end there, cause the downstream sector has to be completely deregulated. NNPCL has to be stripped of some of the cumbersome responsibilities it currently carries. Proper institutions have to be put in place to oversee the transition phase between the government incentivised petroleum regime and the consequent flight of the adult butterfly that we're requesting.

Anything short of this and we'll just be dancing in the same mundane circles.

olgaa14:
If you vote apc after this anarchy they brought on us then you should consider yourself an enemy of this country.

Shut up, is it today you started witnessing fuel shortages in your country?

gonkin:


Cuz naira value is weak.

It still shows that fuel in the UK is more expensive than fuel in Nigeria. UK does not have subsides. They even levy tax on fuel sold...which bumps up the price.

Forget Naira being weak. The day you realize that even at N350, Nigerian fuel is very cheap, you will get it.

The UK has a good public transport system (which isn't cheap, but as a student, you get a discount..if you are studying in the UK, contact your school about such a discount please)...so people prefer to use it instead of their cars. Or, if the school, shops, post office, and so on are within walking distance, you use your feet.

adenigga:


Source: https://punchng.com/N195-enforcement-Fuel-marketers-plan-shutdown-Monday

This government doesn't even get themselves! Let them charge whatever price for it as long as it is available to buy. APC government and anti-people policies! SMH.

gaby:
More constriction on the already suffocating citizens.

Kai

You can say that again! This government think den dey military regime!

olgaa14:
If you vote apc after this anarchy they brought on us then you should consider yourself an enemy of this country.

Abi. They have no idea about governance whatsoever!

Bigchristo:
you still Dey sleep when you wake up from this slumber I pray you meet Nigeria 🇳🇬 intact otherwise we are heading to trenches n that will break us as a nation

Bro, at this stage, I am very okay with the break-up of Nigeria. Down with it totally.

Yet, as a pragmatic person who shuns unfeasible idealism, I know devastating wars and internecine strife must happen before some allow other Nigerians to leave and form their own separate and sovereign nations.

Why don't we all just get behind what is shown below uncompromisingly as a doable alternative to secession Igbos have dragged for many decades yet have not gotten an inch closer to actualising today?

Insanity is doing things the same way, over and over again, to expect a different outcome.

sapele914:
Shut up, is it today you started witnessing fuel shortages in your country?

So we should continue running around in circles,sometimes I wonder if people like you have suffered enough.

ivandragon:
Most inept government ever

You can say that again!

Kobonaire4:


It still shows that fuel in the UK is more expensive than fuel in Nigeria. UK does not have subsides. They even levy tax on fuel sold...which bumps up the price.

Forget Naira being weak. The day you realize that even at N350, Nigerian fuel is very cheap, you will get it.

The UK has a good public transport system (which isn't cheap, but as a student, you get a discount..if you are studying in the UK, contact your school about such a discount please)...so people prefer to use it instead of their cars. Or, if the school, shops, post office, and so on are within walking distance, you use your feet.

Bro, the point is u comparing a strong currency to a weak currency? Just like a cup of coffee for $2 converting it to naira youll be like damm thats expensive. Where as its moderate over there due to currency strength.

AdaojoTheUrchin:
IPMAN is made up of greedy bastards. If they had their way fuel will be N2000 per litre even if they buy from the depot at N174 per litre.

Let them close, we will not die.

The pipelines need to be working so that tanker drivers cannot hold nation to ransom

AdaojoTheUrchin:
IPMAN is made up of greedy bastards. If they had their way fuel will be N2000 per litre even if they buy from the depot at N174 per litre.

Let them close, we will not die.

they're indeed greedy bastards. It's time for Nigerians to start attacking the demons

gonkin:


Bro, the point is u comparing a strong currency to a weak currency? Just like a cup of coffee for $2 converting it to naira youll be like damm thats expensive. Where as its moderate over there due to currency strength.

It is not a matter of strong currency to weak currency, it is just that 870 naira is equivalent to 1.57 pounds in value.

Work with it that way.

One pound is a lot of money in the UK.....

Kobonaire4:


It is not a matter of strong currency to weak currency, it is just that 870 naira is equivalent to 1.57 pounds in value.

Work with it that way.

One pound is a lot of money in the UK.....

Yes i agree 1 pound is alot but still the naira is weak

gonkin:


Yes i agree 1 pound is alot but still the naira is weak

Even then, as a car owner in the uk, it costs money to keep your car fuelled. Far more than you would pay in Nigeria.

If we were paying for fuel in pounds in this country it would be 0.4 pounds per liter...compared to the UK's 1.57 pounds.

AdaojoTheUrchin:
IPMAN is made up of greedy bastards. If they had their way fuel will be N2000 per litre even if they buy from the depot at N174 per litre.

Let them close, we will not die.

if you look at the fuel prices from East to west and north to south you will see a similarity in price from #300+400 per liter,it shows they are not getting fuel at the official price from nnpc,why would nnpc delegate such sensitive national task to a third party?that third or fourth party is the cause not ipman,and buhari as minister of petroleum is responsible for all the confusion

FarahAideed:
Kai Buhari has really ruined ruined everything

Be reasonable and stop blaming Buhari for everything.

I have witnessed a case where a major independent marketer - Mobil filing station @ Samonda in Ibadan would get a fuel at NNPC. Instead of them to discharge it at their station , they will go and sell it to all these mushrooms filling stations at higher price. And those in turn will sell at 300 plus.

Do you blame Buhari for that or the greediness of the citizens?

Kobonaire4:


The thing is, the marketers are not buying at N172 from depot. They are buying from independent depots, whose prices are higher than 200 naira, and then they have to sell at N195.

Also, NNPC is struggling to keep prices below N200. Few months ago, NNPC ex-depot price was 145, now it is N172. That means whatever government is paying them in subsidy is not enough

Also, there is cost for transporters to be paid,,which is becoming more expensive because of the very high diesel costs.

They are not getting it at the said rate? Agreed!

But one happened in my presence, I wanted to buy fuel at a certain filling station but right in my presence they paused selling to increase the price with additional 5naira to make it 325 from 320. The following morning, they increased the price to 365/ltr, same fuel they were selling at 320/ltr but increased it with 45naira in less than 24hrs. Is that not wickedness? Most of these independent marketers pray the crisis continue because they were making lots of money from it

Kobonaire4:


Even then, as a car owner in the uk, it costs money to keep your car fuelled. Far more than you would pay in Nigeria.

If we were paying for fuel in pounds in this country it would be 0.4 pounds per liter...compared to the UK's 1.57 pounds.

So it costs less to fuel a car in Nigeria? Abi na adulterated fuel una dey use. Worse case go green and get dual fuel system lpg and petrol. Many cars have got that installed in the uk. Im aware about the costs involved when owning a vehicle and i must say its cheaper in naija.

Kobonaire4:



You miss the part where NNPC brings in fuel above N500 and sells it at N172 via depot price.

Chew on that. That's where the whole problem starts.

Read it well, no place was it said that NNPCL bring in products for 500 naira, rather he said people bought at that rate from black market, also someone noted he bought black market at 700, read it again.

The issue I noted here is how can NNPCL import products but not have where to store them?

"He said the NNPCL was the only importer and it often gave the product to DAPPMAN to sell to IPMAN members at a regulated rate".

Different useless bodies with same useless agendas. What's the benefit of having too many bodies in between to handle a particular sector?

Na middleman finish this country.

Dsalvo:


Abeg you people should shut up about this APC idiocy. Only Nigerians I know will see A to consistently claim it is B because they are as dishonest and deceitful as the leaders they love indicting of misrule.

What exactly is "APC" about Buhari and a crew, now labeled Aso rock cabal, hijacking power, ostracising others and refusing to consult or carry the wider APC along before they do things?

What is shown below is still APC ba with the APC-led FG, at a very volatile time for Nigeria, hosting a confrontational, incendiary and unhelpful stance in contrast to Tinubu's sensible suggestion ?

In civilized countries, with sophisticated voters, they call that a rogue and compromised government and not a ruling Party.

I have not seen a Curse called party like APC

Dsalvo:


Abeg you people should shut up about this APC idiocy. Only Nigerians I know will see A to consistently claim it is B because they are as dishonest and deceitful as the leaders they love indicting of misrule.

What exactly is "APC" about Buhari and a crew, now labeled Aso rock cabal, hijacking power, ostracising others and refusing to consult or carry the wider APC along before they do things?

What is shown below is still APC ba with the APC-led FG, at a very volatile time for Nigeria, hosting a confrontational, incendiary and unhelpful stance in contrast to Tinubu's sensible suggestion ?

In civilized countries, with sophisticated voters, they call that a rogue and compromised government and not a ruling Party.

Not making sense

Buddha3:


You're reasonable.

But the blunt truth is this, whether subsidy goes or not, Nigerians are certainly going to keep paying high prices for petroleum products, going forward. Subsidy is no longer sustainable. Even if the next government decides to pretend that they can keep it going just so they don't incite Nigerians to wrath, every other aspect of our daily existence is going to keep crumbling and the prices of petroleum products still won't fall.

The economics behind this is pretty simple. If I could make a thread on nairaland to comprehensively explain it in the simplest of terms, I'd have done so. I worked in the downstream sector between 2011 and 2019 and I speak from a store-room of sound knowledge, because I still have reliable information sources within the field.

Nigeria needs to get rid of petrol subsidy! It is the only way forward. But it doesn't end there, cause the downstream sector has to be completely deregulated. NNPCL has to be stripped of some of the cumbersome responsibilities it currently carries. Proper institutions have to be put in place to oversee the transition phase between the government incentivised petroleum regime and the consequent flight of the adult butterfly that we're requesting.

Anything short of this and we'll just be dancing in the same mundane circles.

How much subsidy has been removed so far and how subsidy is left to be removed?

Does fuel subsidy control and manage itself?

Kobonaire4:



You miss the part where NNPC brings in fuel above N500 and sells it at N172 via depot price.

Chew on that. That's where the whole problem starts.

Can you produce the part we missed where it says that "NNPC brings in fuel above N500 and sells it at N172 via depot price"?

Kobonaire4:


It still shows that fuel in the UK is more expensive than fuel in Nigeria. UK does not have subsides. They even levy tax on fuel sold...which bumps up the price.

Forget Naira being weak. The day you realize that even at N350, Nigerian fuel is very cheap, you will get it.

The UK has a good public transport system (which isn't cheap, but as a student, you get a discount..if you are studying in the UK, contact your school about such a discount please)...so people prefer to use it instead of their cars. Or, if the school, shops, post office, and so on are within walking distance, you use your feet.

The discount given to students is called what?

Kobonaire4:


That the fear of high prices prevents people from supporting sensible economic polices like subsidy removal essentially.

Perosnally, I back subsidy removal. I can see the marketers are operating at a loss, as the article puts it. High prices, on the other hand, scare a lot of people from backing it.

How much subsidy has been removed so far? How much is left to be removed?

How much subsidy has been removed that has led to the increase in the price of petrol from 180 to 600 or 700 per litre?

Oil marketers are one of the groups of people holding this country to ransom. The DSS should start arresting them and even confiscating thier properties. They are even more greedy than the politicians.

gonkin:


So it costs less to fuel a car in Nigeria? Abi na adulterated fuel una dey use. Worse case go green and get dual fuel system lpg and petrol. Many cars have got that installed in the uk. Im aware about the costs involved when owning a vehicle and i must say its cheaper in naija.

So, if you want better fuel, pay more for it, let's remove subsidy so that we can have the money.

Good stuff costs money.