₦airaland Forum

Despite the drastic fall in price of crude oil, I still wonder why there was no decrease in the price of fuel.

I am aware of the reasons given by the FG, but I still find it hard to understand.

My reasons are;
1) If imported fuel costs N104/litre, what of the little we refine locally?

2) What of Diesel that had no subsidy, if PMS could fall from N145/litre to N104/litre (subsidy excluded) why didn't the price of diesel fall?
Not to talk of kerosene that the subsidy is in ghost (them no dey see us) mode

3)FG claims increase in dollar makes importation of refined crude more expensive.
What of more earnings we get from the exportation of crude oil due to increase in dollar.

Because Fuel is subsidized in Nigeria........average petrol price in western Europe sells for €1.54 (N355) per litre because fuel is not subsidized here and the price automatically falls when oil price falls.

omanzo02:
Because Fuel is subsidized in Nigeria........average petrol price in western Europe sells for €1.54 (N355) per litre because fuel is not subsidized here and the price automatically falls when oil price falls.

That is because they pay fuel duty, VAT on fuel duty and VAT on fuel