something is definitely wrong with the petroleum industry in this country, I mean why won't pms go down to like 45-50 naira per litre.... . globally the price of crude is going down

This con3 tho! Lets b watching

Wailers..fuc*k all yor

OLADD:


Jona reduced the PMS price from N97 to N87 but Lai Mohammed and APC cried blue murder. Today, while in govt, all APC-led administration can do was a N2 reduction! What a scam!

jonah had six years to build new refineries and also put in perfect conditions the old refineries but he didn't. We were still relying on imported fuel. Jona's bad foundation is still in place and the negative effects of that will always come up. Give PMB the benefit of the doubt. If we still continue to import fuel within the next three years then we can shout!!!

This government is a scam. N85 with subsidy, this is a joke. The price of crude is about $35 per barrel. Logistics and handling cost of petroleum commodities also crashed along with the oil price.


Nigerian youths and old people get some sense, it's time we demand answers from this half-wits kakistocrat of a government.


The pump price shouldn't be over N37 without subsidy. We keep enriching the likes of Adenuga, Otedola, Capital Oil, Tinubu and the likes at the expense of the collective well-being of our people

Amberon:
if our government is a sane one, then petrol shouldn't even sell above 30 naira. because crude oil is at its lowest price in the international presently. So naturally, a fall in the global oil price should also mean a fall in petrol for consumption. but our useless government with their corrupt ways won't adjust the price to this effect.

about last year, the U.S govt slashed the price of gas by a third the normal price because gas got cheaper. Our useless government should learn.

Dude, you are not arguing from a point of knowledge. A few reasons why the price of petrol in Nigeria is not perfectly elastic to the price of crude:

1: crude makes up only about 40-50% of the petrol price in most countries. The rest is made up of refining costs, distributions costs, marketing costs and special taxes. None of those would have changed because crude prices have crashed.
2: even as crude prices have crashed (which should take the petrol price down), exchange rate has gone the other direction in the same period (158 to 200), which causes the Naira price of petrol to go up since we import it.
3: our method of getting petrol where we send it out, people refine and send it back means we are paying for extra profit margins, shipping and refining costs that most other people are not paying.

Let's do some maths.
Typical gallon of petrol in us averages about $2=N400.
Let's assume gallon = 4litres (it's actually 3.
The US litre=N100
US price consists if about 20% special tax
If we assume we don't want to put extra levy on our petrol and we back out the 20%, you might get to N80 give or take.

Also your statement about US government reducing prices cannot be true because the sector is fully deregulated in America. If the prices came down its purely due to demand and supply forces.

Hope I've helped.

Jarus:


Jonathan met petrol price at N65 and left it at N87. Does that tell the story now?

Tell Buhari to take it back to N65 naira. This will tell a better story. Mr Social Media Change Agent.

Tomorrow someone like you will come here and clamor for subsidy removal.

If your argument sounds stupid there's no need to spew it just because you want to criticize this government. People criticized GEJ and when I say people, I mean everyone, when they removed subsidy because of how high the price at the pump went. Everyone at that time were looking at their pockets not political party. A lot of young PDP guys were part of that protest.

Now the minister is talking about removing subsidy and reducing pump price or let's say pretty much staying the same, if this happens the way he's saying it then I doff my hat seriously to these guys. This sounds like magic. It means we'll be able to save hundreds of billions while it doesn't affect pump prices, I as a Nigerian, not as a member of any stupid political party celebrate. If this works out the Buhari government has ridded this country of one the biggest problems facing it. This was one of the biggest sources of corruption.

I'm skeptical about this because it sounds too good to be true. However, I won't start really celebrating until we're sure we won't be having availability issues. My best case scenario for subsidy removal was petrol will start selling for N100 but with this, let's watch and see

totorimi:
With this unimpressive reduction, I now believe the suffering Nigerians have been subjected to in the name of fuel scarcity this is past few weeks was deliberate otherwise how come suddenly on Christmas day there is fuel all over.
Why didn't they use the same strategy to ensure that there was petrol all this while.
I just hope this guys know what they are doing.

you missed what pmb said during budget presentation.

Scam alert

Tongsman:

pls, what formula did u use to arrive at 158, cos the 1 barrel-litre that the world know is 119litre. SMH for some people.

You should also ask him what he has done to the costs of refining and transportations and marketing.

#2 naira diffrence important for we that buy hundreds of litres, you wey d buy 1 litre learn to buy more, after all light they constant for my area, in makurdi

As at today i have seen petrol for even #100 to buy in anywhere in Lagos and somebody is telling me that i will buy for #85 in a few days time.story for the gods

OLADD:


Jona reduced the PMS price from N97 to N87 but Lai Mohammed and APC cried blue murder. Today, while in govt, all APC-led administration can do was a N2 reduction! What a scam!

jona reduced from N97 to N87 for the sole aim to win the election.but we kicked him out because these present govt has a whole lot to offer.

Let get this people wrigh........ #86 without subsidy.... Before was 140 subsidy of #53.....now scam eral has gone.... 85 without subsidy, we need to praise and appreciate little effort this people make.

https://www.eia.gov/petroleum/gasdiesel/
Some info on prices and make up of the prices.

Personally I think we should just remove the damned subsidy once and for all and sell our refineries. Despite kachikwus best efforts it cannot be as efficiently by him compared to if it's in private hands.

I know some bad belle will still complain or castigate.I wonder how their wife enjoy them at home.....nagging,nagging.

Amberon:
if our government is a sane one, then petrol shouldn't even sell above 30 naira. because crude oil is at its lowest price in the international presently. So naturally, a fall in the global oil price should also mean a fall in petrol for consumption. but our useless government with their corrupt ways won't adjust the price to this effect.

about last year, the U.S govt slashed the price of gas by a third the normal price because gas got cheaper. Our useless government should learn.

Na wa for you o.Naija haba!!

oz4real83:
jonah had six years to build new refineries and also put in perfect conditions the old refineries but he didn't. We were still relying on imported fuel. Jona's bad foundation is still in place and the negative effects of that will always come up. Give PMB the benefit of the doubt. If we still continue to import fuel within the next three years then we can shout!!!

lol, I was excited when the idiot said they will build 3 new refineries and provide more jobs... alas, it was a scam.

OLADD:


Jona reduced the PMS price from N97 to N87 but Lai Mohammed and APC cried blue murder. Today, while in govt, all APC-led administration can do was a N2 reduction! What a scam!

how much did jona meet it?? and wen was his reduction? one month to election I guess

OLADD:


Jona reduced the PMS price from N97 to N87 but Lai Mohammed and APC cried blue murder. Today, while in govt, all APC-led administration can do was a N2 reduction! What a scam!

get ur facts right.
Ur Jona met the fuel price at #65, then increased it to #97. This year he reduced it to #87.
If u do the Arithmetic u'l c dat ur Jona added #22 even when our income on crude was high.
Now dat our income is low Apc wants to reduce it to #85.
Thats d diff

Amberon:
if our government is a sane one, then petrol shouldn't even sell above 30 naira. because crude oil is at its lowest price in the international presently. So naturally, a fall in the global oil price should also mean a fall in petrol for consumption. but our useless government with their corrupt ways won't adjust the price to this effect.

about last year, the U.S govt slashed the price of gas by a third the normal price because gas got cheaper. Our useless government should learn.

yeah I agree with you. Again this govt is trying to remove subsidies which is supposed to increase the price of pms. If the price is still relatively low with falling oil prices, I think it's preparation for subsidy removal. Again I may be wrong, let's wait & see.

gbagagbogo:
As at today i have seen petrol for even #100 to buy in anywhere in Lagos and somebody is telling me that i will buy for #85 in a few days time.story for the gods

Please where do you live in Lagos?? I buy petrol almost everyday and I've had to buy anywhere from Lekki to Festac and I've bought N87 every time maybe with the exception of once that the guy that bought for me said it was N100. Again if at this point, you don't know where to get in Lagos, it means you're really not looking for

Bevista:
Good development.
---
Unfortunately, the PPPRA template is never fully understood. With oil price as low as $38 and with Naira still exchanging @ N197/$, it is difficult to understand why petrol should not be selling below N70 without subsidy.
---
Those who understand better can shed more light on the subject.

now, our income is low. The govt needs all the cash it can get. This r hash times. Any reduction is welcome especialy a round figure one

KAI!! These people dey plan increase fuel price again.

Official pump price is N87. Actual Purchase price is N130 - N140
New Offcial Pump price to be N85. Actual Purchase price will be N150 - N160

God Help us. Liar Mohamed will come and say another lie on this issue shortly.

PMB is a phenomenon. He is loved by Nigerians for trustworthiness and untainted integrity. It can only take an extraodinary man to govern a complex country like Nigeria. He systmatically scrap fuel subsidy, reduce pump price without protest and gradually eradicating oil theft mafians, checkmating the wicked oil marketers in the oil business. God we thank you for bringing Buhari to power..Who d cap fits let him wear it...

Okay I get u...U will just say "crude I command u to turn into fuel" u won't transport crude to refineries at a cost? Cost of refining is paid for by a charity organisations? Cost of transportation of finished product back to nigeria is free abi... Pdp govt watched our refineries dilapidated n could neither repair nor build new ones for 16yrs...dat s y we are where we are....D dasuki s 2.1 billion dols would build 2 modular refineries...let's be a lil bit analytical before we crucify

bravehost4u:
If a barrel of crude is $38 appr. And dollar is 198naira appr.
1 barrel of crude=158 litres of petrol.
1 litre of petrol=47naira appr.
Now I wonder why there is subsidy?

wristbangle:
It has been predicted that in 2016, oil price at international market will fall to $20 per barrel.

If N2 could only be the difference as the present oil price is $36 against when it was brought low to N87 at $67 per barrel, then this current government are chronic thieves.

If we do the analysis well, 1 barrel is approximate to 120L, then the cost of 1 litre = $3.33 or N656.67.

1.72 percent of PMS can be seen in 1 litre of crude oil, therefore the price of PMS = N11.29.

Operating cost per litre = N10
Logistics| import duty =N9
Labour = N8
=

Total Cost of Petrol per litre = N42 (approx)

Please how come did they say it will be sold @ N85

oga factor in Subsidy na... haba

EternalTruths:
Where is Prof Tam David West who during Jonathan's era said that petrol should not sell above #40 per litre.

Why is he quiet.?

I hope he has not eaten Cocoa yam abi na Yam.?


Come out and explain to us oooooo

Yes,brother.... That's What I dey expect oo. #40 per little
When we that have petrol dey suffer like this. if no have crude oil nkor. chai there's God o.
May God bless Nigeria for real change & and if it's buhari that will really do it, May God Help him too

OLADD:


Jona reduced the PMS price from N97 to N87 but Lai Mohammed and APC cried blue murder. Today, while in govt, all APC-led administration can do was a N2 reduction! What a scam!

but we were buying at N150 when jonathan first introduced subsidy. Thats against the N65 yaradua left it. Wetin u dey talk?

Jarus:


Jonathan met petrol price at N65 and left it at N87. Does that tell the story now?

People like OLADD aren't good listeners... They only listen to stories from people they like, no matter how corrupt those people are.