₦airaland Forum

Bobloco:
Watch how some urchinstons, paid agents, and BATerians defend this, telling you that oil is a global commodity priced in dollars. You may then begin to wonder what the purpose and benefits were of the naira crude deal between NNPCL and Dangote

Most of you were decieved when government announced this naira for crude deal. Because the language sounded sweet.

It is like me walking into a shop where they used to price things in dollars....then they decided to price things in naira. The numbers change, but the value still remains the same

So, if crude goes up from 70 to 80 dollars a value, it means that in naira terms, the price of the barrel in naira goes up from 109000 naira to 124000 naira. And with that the price of fuel goes up.

At the end , it does not matter whether we pay in naira or dollars or even yuan. Once the price of things goes up...it goes up.

The only hope was that the value of the naira would go down since we now had more dollars to spend...but at the end of the day, the country is not earning enough dollars, and won't until the foundation of our economy is manufactured goods and services for export to a world that needs them

IronCondemned:
Honestly, I am confused at the government arrangements with the agreement between it and Dangote.
Since the crude is supplied to Dangote in Naira, is the global spike in the crude oil prices supposed to affect it? The crude is local, the Naira is local, all are in a stable condition, so why the increase.

This government of Tinubu is not sincere in all it does. There is no transparency in this at all.

The crude sold to Dangote is at international prices. They accept Naira instead of USD. He still pays full USD value fee.

If crude is $20 a barrel, he’ll pay $20 a barrel but in Naira equivalent.

The Naira for crude they are shouting isn’t that they sell to him at a lower price than they sell to international buyers.

What they can do to drop the prices is to sell crude to him at a fixed Naira rate. Instead of selling at international rates they can sell to him at 10,000 Naira a barrel. That way price of fuel for local consumption will drop and will be stable.

I think this is how oil producing nations keep prices of fuel lower in their countries even when international prices rise.

Fujiyama:
All it takes is one major geo-political event that pushes the price of crude into triple digits...and then Nigerians will all understand the true meaning of pain and suffering.

We already have the conflict in the Middle East and the war between Russia and Ukraine. All it takes is another problem (any problem!) that affects oil prices. That's all it takes.

If oil prices go through the roof, the BAT administration has some interesting choices to make. Stand back and allow those high prices to squeeze the life out of Nigerians...or quietly re-introduce subsidies without ever admitting it publicly. Since the administration has its eye on re-election in a couple of years, it will definitely want to avoid the high political cost of skyrocketing petrol prices... and all this talk about courage, vision etc. will fly out of the window and subsidy will be re-introduced. What happens then?

make we try the triple digits.


We should try anything and everything that’ll speed up the break up of this evil contraption called nigeria

Nb. I prefer typing nigeria using small caps

Itiskdg121:
Nigeria is a mirage.

I don't understand this country anymore, to be honest

U never see anything

nairalanda1:
Indeed

But the thing is, Nigerians are fixated on the idea of fuel must be cheap

That's why.most of them were protesting in 2012. Despite the fact that cheap fuel back then was eating most of our revenue

An import based country , way even day import ashewo, na e you day talk revenue? Who do you this thing?

Itiskdg121:
Nigeria is a mirage.

I don't understand this country anymore, to be honest

So because business people decide to increase the price of fuel, which is a business decision taken in the interests of their shareholders, workers and so forth....Nigeria is a mirage.

I guess you want fuel to be at N65 per liter? Thanks for donating N40 trillion naira for that to be possible.

mickyeddi:
This is what happens when you allow dumb illiterates to vote.

Another election cycle is around the corner.

TheWitchKing:
An import based country , way even day import ashewo, na e you day talk revenue? Who do you this thing?

Okay, let's crunch some numbers.

Let's assume that tinubu said on Jan 1 this year that fuel would cost N65 per liter.

That means that subsidy cost would come to about 100 billion naira daily. Or 36 TRILLION Naira annually.

As you know, our budget for this year was N49 trillion, meaning that once we take 36 trillion out, we would have 13 trillion left.

Salaries won't be paid, projects won't be executed, and services won't be done. You may not be able to get passports, documents, etc...because no money.

And the debt would rise as we try to borrow more. Our debt is N135 trillion as at the end of last year, and rising. Maybe it would shoot to N200 trillion.

Meaning, no money for even importing anything...ashewo included.

Result...Sri Lanka ten times over.


Who do you this kind thing?

nairalanda1:
Okay, let's crunch some numbers.

Let's assume that tinubu said on Jan 1 this year that fuel would cost N65 per liter.

That means that subsidy cost would come to about 100 billion naira daily. Or 36 TRILLION Naira annually.

As you know, our budget for this year was N49 trillion, meaning that once we take 36 trillion out, we would have 13 trillion left.

Salaries won't be paid, projects won't be executed, and services won't be done. You may not be able to get passports, documents, etc...because no money.

And the debt would rise as we try to borrow more. Our debt is N135 trillion as at the end of last year, and rising. Maybe it would shoot to N200 trillion.

Meaning, no money for even importing anything...ashewo included.

Result...Sri Lanka ten times over.


Who do you this kind thing?

Oh na now I understand what you mean. Shawap. Assuming you talk am like this , I go ask you dawan I ask you.

Endinjustice:


I thought they claimed that two refineries have started working at full capacity and that we should expect price of petrol to fall below #500/l this week.


Propaganda does not fix economy.

Believe the government of Tinubu the fake accountant at your own risk.

So at 80 dollars fuel is 1150. It means at 100 dollars fuel will be 1450 or 1500. At 120 dollars, fuel will be 1700. At 150 dollars fuel will be 2000 naira. We are getting there. Nigerians must suffa

nairalanda1:
Indeed

But the thing is, Nigerians are fixated on the idea of fuel must be cheap

That's why.most of them were protesting in 2012. Despite the fact that cheap fuel back then was eating most of our revenue

And it's the people who protested then that are effecting what they protested against.

mannobi:
Prices will become very unstable again

My if I tell you that I said it on Thursday that they will increase the fuel price soon you will not believe. I had a discussion with someone and I made mention of fuel price hike, I am surprised I saw it in the news today

TheWitchKing:
Oh na now I understand what you mean. Shawap. Assuming you talk am like this , I go ask you dawan I ask you.

Well, no matter how angry you are, things cost money.

Have a good day, and may Minerva bless you and yours.

nairalanda1:
Okay, let's crunch some numbers.

Let's assume that tinubu said on Jan 1 this year that fuel would cost N65 per liter.

That means that subsidy cost would come to about 100 billion naira daily. Or 36 TRILLION Naira annually.

As you know, our budget for this year was N49 trillion, meaning that once we take 36 trillion out, we would have 13 trillion left.

Salaries won't be paid, projects won't be executed, and services won't be done. You may not be able to get passports, documents, etc...because no money.

And the debt would rise as we try to borrow more. Our debt is N135 trillion as at the end of last year, and rising. Maybe it would shoot to N200 trillion.

Meaning, no money for even importing anything...ashewo included.

Result...Sri Lanka ten times over.


Who do you this kind thing?

ShAtapi. After all una Don dey chop statistics now. This trillion naira that trillion naira yen yen yen yen...... tell us how much trillion your agbado master and his Co thieves steal/loot every day. Bastard.

What a Balabluuuu

IronCondemned:
Honestly, I am confused at the government arrangements with the agreement between it and Dangote.
Since the crude is supplied to Dangote in Naira, is the global spike in the crude oil prices supposed to affect it? The crude is local, the Naira is local, all are in a stable condition, so why the increase.

This government of Tinubu is not sincere in all it does. There is no transparency in this at all.

it is only the payment of crude price that is in naira,and Mark you nnpc is not giving the local refineries enough crude, so if price of crude goes from 72$ up to 80$ the naira equivalent of 72$ and 80$ is the increase in local crude price.

This happen all over the world crude oil price is not stable just like Gold except countries with fuel subsidy which is not good for a 200m population

oxygeng:
ShAtapi. After all una Don dey chop statistics now. This trillion naira that trillion naira yen yen yen yen...... tell us how much trillion your agbado master and his Co thieves steal/loot every day. Bastard.

Okay, fuel should cost 10 naira per liter.

It's what you prefer, isn't it.?


Lawd knows I wish it was not so

IronCondemned:
Honestly, I am confused at the government arrangements with the agreement between it and Dangote.
Since the crude is supplied to Dangote in Naira, is the global spike in the crude oil prices supposed to affect it? The crude is local, the Naira is local, all are in a stable condition, so why the increase.

This government of Tinubu is not sincere in all it does. There is no transparency in this at all.

The deal just looks like that but it isn't.

FG is basing the price of its Crude Oil on international market price which is based in USD. So if USD rises, or price of Crude rises in intl market, the govt also increases its Crude prices. However, Dangote can pay FG the naira value when you convert the Crude price from USD to naira.

So Dangote only has to pay naira and not source for USD to buy Crude oil. Thats what i understand from the arrangement, but I'm open to other's opinions too

nairalanda1:
Okay, fuel should cost 10 naira per liter.

It's what you prefer, isn't it.?


Lawd knows I wish it was not so

lawd knows nothing about this criminal APC GAng and their zombie supporters. If your okpolo eyes bacteria is not impeached, or brought back from France in body bag before 2027, we will push him off a very high cliff into a bottomless pit through the 🗳 .

Standing5:
That is what deregulation connotes but Nigerians like to believe it should much lower than that and of a fixed price.

My question is do they sell to dangote in dollar?

All these love note just to support Tinubu rubbish economic policy? It’s now you people are having sense. When Tinubu led a protest to protest GEJ fuel price hike u all supported him now u have to write long note to support him. Shame on you all!!!

nairalanda1:
Me, I think that tinubu is a hypocrite, and a crook.

But if your governments in the past had removed subsidy, you would have said the same thing. If GEJ had removed subsidy in 2012, you would have cursed his supporters.

Also, let's imagine that government had kept subsidy as it was since 2012, or even since 1999. By now, fuel subsidy costs would have been at least 36 trillion naira or more annually. Our budget for this year was around 49 trillion. That means that once we have paid for subsidy for the year we don't have much left.

SO, at the end of the day we take loans. The problem is, IMF Is getting tired of our loan begging...so they have been refusing loans. You can guess what would be happening now? No money to pay for ANYTHING...and a debt that keeps growing.

Nothing is cheap in this life. Ghana has expensive fuel. Even more expensive than ours, ditto Niger. And they have working refineries because the profits made keep them working. And they have crude.

Note that if we had removed subsidy in 1993 , we would have long since been over the worst, and even have been earning tons of dollars in the billions from export. But you NIgerians kept on saying no. Even this removal....Tinubu was forced to remove because the debt was getting too too much. And he was among those leading the charge in the past to say no. See how karma is dealing with him.


Make we wake up. Petrol is not cheap. All the workers in dangote refinery want to be paid global standard salary, not Naija standard. All the people transporting and selling the fuel want to be paid. And they are Nigerians like you suffering under this t-pain economy. Maybe you want them to suffer loss so that you can enjoy cheap fuel. Sadly, life is not like that.


Or maybe you should pay half your income so that we can all have cheap fuel...all of us should do...because that is how they pay for subsides in most saner climes. And the said subsides are not for everyone self.





Look, like I said, I don't support tinubu. But let's forget about politics and think in economic terms.

ogaemma:
When will this back and forth movement of Nigeria stop?

This is how it is all over the world

iwaeda:
It will favour me and my family. When we told you, it was Christmas gift or Greek gift

Not a Christmas gift but economy at play . There has always been a lower global demand for petrol during the festive season because most of the western nations depend more on gas during the winter season . It causes reduction in price . After winter , prices of crude surges . So here we are . It means more money for Nigeria but more spending for the citizens

I thought they said petrol was gonna sell for 900 naira?
Never saw that and it's back to 1150?
This price; I'll surely see.
But never the lower price they promised.

NAwaooo

The audio operations of Rivers and warri refinery has gone silent. What a wicked government that leave in lies and propaganda to her citizens.

nairalanda1:
Me, I think that tinubu is a hypocrite, and a crook.

But if your governments in the past had removed subsidy, you would have said the same thing. If GEJ had removed subsidy in 2012, you would have cursed his supporters.

Also, let's imagine that government had kept subsidy as it was since 2012, or even since 1999. By now, fuel subsidy costs would have been at least 36 trillion naira or more annually. Our budget for this year was around 49 trillion. That means that once we have paid for subsidy for the year we don't have much left.

SO, at the end of the day we take loans. The problem is, IMF Is getting tired of our loan begging...so they have been refusing loans. You can guess what would be happening now? No money to pay for ANYTHING...and a debt that keeps growing.

Nothing is cheap in this life. Ghana has expensive fuel. Even more expensive than ours, ditto Niger. And they have working refineries because the profits made keep them working. And they have crude.

Note that if we had removed subsidy in 1993 , we would have long since been over the worst, and even have been earning tons of dollars in the billions from export. But you NIgerians kept on saying no. Even this removal....Tinubu was forced to remove because the debt was getting too too much. And he was among those leading the charge in the past to say no. See how karma is dealing with him.


Make we wake up. Petrol is not cheap. All the workers in dangote refinery want to be paid global standard salary, not Naija standard. All the people transporting and selling the fuel want to be paid. And they are Nigerians like you suffering under this t-pain economy. Maybe you want them to suffer loss so that you can enjoy cheap fuel. Sadly, life is not like that.


Or maybe you should pay half your income so that we can all have cheap fuel...all of us should do...because that is how they pay for subsides in most saner climes. And the said subsides are not for everyone self.

Look, like I said, I don't support tinubu. But let's forget about politics and think in economic terms.

Nigerians are too sentimental and limited. They would rather have fuel subsidies to survive than have actual development to prosper.

cjfavour:
All these love note just to support Tinubu rubbish economic policy? It’s now you people are having sense. When Tinubu led a protest to protest GEJ fuel price hike u all supported him now u have to write long note to support him. Shame on you all!!!

I know you won't believe me, but back in 2011 was when I saw the light on subsidy removal.

For years, I was backing subsidy. Even in 2005, when one government minister said that fuel should not be cheaper than coca cola, I was one of those laughing at him.

SO, what changed my mind?

GEJ was saying subsidy had to go...like all those before him...and it made me sit down and think , and start reading and listening.

The final straw was being introduced to the concept of landing cost in 2012. January. Suddenly I realized why GEJ wanted subsidy gone. SURE P and FERMA were the other two straws...programmes that were strengthened by subsidy removal.

I am not a fan of GEJ or tinubu for many other reasons by the way.

But you are free to believe I support APC if it makes you better.

oxygeng:
lawd knows nothing about this criminal APC GAng and their zombie supporters. If your okpolo eyes bacteria is not impeached, or brought back from France in body bag before 2027, we will push him off a very high cliff into a bottomless pit through the 🗳 .

I supported subsidy removal in 2011...so that makes me a GEJ supporter in your eye.

I supported subsidy removal in 2023, so that makes me a TInubu supporter in your eye.

I don't like being abusive, honestly I don't, but you are too angry to listen, so ....adieu.

IronCondemned:
Honestly, I am confused at the government arrangements with the agreement between it and Dangote.
Since the crude is supplied to Dangote in Naira, is the global spike in the crude oil prices supposed to affect it? The crude is local, the Naira is local, all are in a stable condition, so why the increase.

This government of Tinubu is not sincere in all it does. There is no transparency in this at all.

It's naira equivalent of dollars. You can't sell a commodity you bought 700 for 500. You get ba