The Federal Government is now paying for transportation surcharge on imported fuel not extra cost of fuel, due to the drop in the global oil price to about $45 a barrel.
A check by Daily Trust on the template of the Petroleum Product Pricing Regulatory Agency (PPPRA) published on December 3, 2015 indicated that the landing cost of Premium Motor Spirit (PMS) locally known as petrol has dropped to N80.69k per litre as against N88.7per litre on September 3, 2015.
The template published by the pricing agency in its website, indicated that the landing cost plus other margins of the petrol per litre is now N96.18k. This translates to payment of N10.7k transportation expenses such as trader’s margin, Nigeria Port Authority charges, jetty depot thruput charges, lightering expenses and storage due to the inability to refine fuel locally.
Other expenses that gulped N15.49k on each litre are that of distribution expenses such as retailers, transporters, dealers, bridging fund, Marine Transport Average (MTA).
C+F (Cost, Insurance and Freight) as at that date was N69.99k at the Conversion Rate (MT to Litres): 1341  and Exchange Rate (N to $) at 197.
With C+F at N69.99k plus transport margins of N10.7 k, Nigerians should be paying N80.69k per litre if the fuel can be refined locally.
Currently, the three local refineries in Kaduna and Port Harcourt and Warri are virtually refining nothing. With the combined refining capacity of 445,000 barrels per day, the three refineries if fully working can atleast provide about 40 per cent of the country’s daily fuel need.
Reacting to the situation, a lecturer at Economics Department, Ahmadu Bello University, Zaria and member, Daily Trust Board of Economists, Dr Muttaka M. Usman said although the country has no capacity to refine local fuel due to poor refineries, the government should look at total domestication of fuel refining in the near future.
Usman said with this situation, it’s the right time for government to exit the so called fuel subsidy and concentrate in building more local refineries in collaboration with private managers.
According to him, many countries own refineries but hand them to private sector to manage, a situation that reduces serious maintenance burden on government.




http://dailytrust.com.ng/news/business/fg-now-pays-transport-surcharge-not-subsidy-on-imported-petrol--pppra/123004.html

Isn't this beautiful?

Too much english to misdirect gullible people. I had to queue for hrs to buy fuel in abj and christmas is coming. If the scarcity continues i will have to pay up to 25k for fuel back to the village.

Lol this country Shaa

i'm confused... I don't understand anything from that post

Kyase:
Isn't this beautiful?

Yes as beautiful as the hunger in somalia and sudan.

Anyway good news. At least I bought fuel at N130 per litre even with crude oil at $43 per barrel.

Things are getting berra!

Just change d package even when d content is d same.

Afterall that is how it's done for change of name.
'I, Fuel Import Subsidy now wish to be known as Fuel Import Transport Surcharge. All other documents and transactions remain valid.'

Bought petrol for 125 naira litre at AP by Uniport gate.

Who una dey decieve

Idonbelivit until I buy petrol at 87 naira or less without queuing.

FG government should stop paying anything to marketers. The open market cost is now N98 per litre. That's not too much

na una go tire with this changi!!!

wen we enter dole next year,pump price will be 180!!!

Slow but surely

wachakuta:
Slow but surely

i bet u, u dont understand a pinch in that article.

Grammar,subsidy na subsidy.

Call it any name, government still pays importer over the fuel imported , simple.

Don't use Patrick Obahigbon style for us, this no be Edo.

What is the difference

otokx:
Bought petrol for 125 naira litre at AP by Uniport gate.

chukel:
Idonbelivit until I buy petrol at 87 naira or less without queuing.

obasiken:
Too much english to misdirect gullible people. I had to queue for hrs to buy fuel in abj and christmas is coming. If the scarcity continues i will have to pay up to 25k for fuel back to the village.

denziz:
Grammar,subsidy na subsidy.

The FG don't subsidize fuel anymore that is why you buy fuel as that price. it won't go below that.

As Long As These Marketers Still Exists, There Is Subsidy No Lie Only Truth!

CallPolice:


The FG don't subsidize fuel anymore that is why you buy fuel as that price. it won't go below that.

read the article well, they are still paying #15.49 per litre so that petrol would be sold at #87.

So why are we still having fuel scarcities

lol thus government will use English language to finish us all......