₦airaland Forum

Bossontop:

I think we should first ask the minister of petroleum dat kwesion....followed by d pipo dat voted APC lyk d woman below...
THANK GOD SAY NA ALL OF US DEY SUFFER AM

Catalyst4eva:
There has been accusations and counter accusations from different quarters and Organisations as to who is the cause of the fuel price hike that has greeted Nigerians this Yuletide.

NNPC blames IPMAN, IPMAN blames NNPC and Private Depot owners in return.

Who do u think is responsible for this? Your opinion matters....let's discusss.

chemali:
It’s disappointing that we are back to square on one the fuel issue.

I believe it’s a myriad of factors and increasing supply may not necessarily end it.

1. The no subsidy policy made NNPC the sole supplier of fuel. I believe there was a supply gap due to the rise in crude oil prices that prevented NNPC from meeting demand.

2. Price fixing on the part of NNPC. It is said that the price of fuel in neighboring countries is >300 naira per litre. NNPC supplies fuel to marketers @ <160 naira and this same fuel is sold across the border for 300 naira

3. Greed of Nigerians. Marketers are hoarding and diverting fuel supply to maximize profit.

Except there is a full scale devaluation or the re-introduction of subsidies to allow other companies import refined fuel, I doubt if there will be a lasting solution to the fuel crisis.

chemali:
It’s disappointing that we are back to square on one the fuel issue.

I believe it’s a myriad of factors and increasing supply may not necessarily end it.

1. The no subsidy policy made NNPC the sole supplier of fuel. I believe there was a supply gap due to the rise in crude oil prices that prevented NNPC from meeting demand.

2. Price fixing on the part of NNPC. It is said that the price of fuel in neighboring countries is >300 naira per litre. NNPC supplies fuel to marketers @ <160 naira and this same fuel is sold across the border for 300 naira

3. Greed of Nigerians. Marketers are hoarding and diverting fuel supply to maximize profit.

Except there is a full scale devaluation or the re-introduction of subsidies to allow other companies import refined fuel, I doubt if there will be a lasting solution to the fuel crisis.

exlinklodge:
I think is the pegan god being celebrated this Yuletide period


My own God can't be responsible for this and he wasn't born on 25th December


chikina

InvertedHammer:
||

That lady could be NgeneUkwu.

Catalyst4eva:
There has been accusations and counter accusations from different quarters and Organisations as to who is the cause of the fuel price hike that has greeted Nigerians this Yuletide.

NNPC blames IPMAN, IPMAN blames NNPC and Private Depot owners in return.

Who do u think is responsible for this? Your opinion matters....let's discusss.

exlinklodge:
I think is the pegan god being celebrated this Yuletide period


My own God can't be responsible for this and he wasn't born on 25th December


chikina

exlinklodge:
I think is the pegan god being celebrated this Yuletide period


My own God can't be responsible for this and he wasn't born on 25th December


chikina

lonlytroy:
There was no Fuel scarcity during sala celebration because it's Chrismas, fuel is no where to be found

9jakohai:
Basically

1. During the last fuel crisis in 2016, it cost N132 to import one liter of fuel. Govt was subsidizing fuel to N87 per liter. Due to falling revenues from crude oil, Bubu was strongly advised to allow deregulation. Instead, we just had a partial withdrawal of subsidy MANIFESTING as an increase in price from N87 to N145...allowing marketers to make a profit of N13 per liter.

2.Over the last few weeks, due to crude oil going up to $64 per barrel, the cost of refining fuel has gone up as well. So NNPC (According to IPMAN;NNPC is busy hemming and hawing on the issue)..raised landing costs of imported fuel from N132 to N141.

3.This means that most independent marketers have seen a drop in profits from N13 to N3 to N4 per liter of PMS...which means either they increase prices....or they go out of business.Because they cannot afford to buy the fuel NNPC imports...especially as there are additional costs to that landing cost. Hence scarcity.

WHO IS TO BLAME?

1.NNPC...for not fixing our refineries, and investing in new ones.

2.GOVERNMENTS PAST AND PRESENT. for allowing the NNPC to become the mess it is (honestly it should have been privatized since) and for refusing to deregulate the downstream sector...instead they keep the subsidy in place.Which is why IPMAN members cannot set prices...and DPR goes round locking up stations whose crime is trying to survive financially.

3.NIGERIANS..for protesting back in 2012 when GEJ tried to massively decrease subsidy payments...by increasing prices from N65 to N140. Protests forced him to reduce it back to N97..which became unsustainable within a year...and which made it imperative to dip into our forex reserves to maintain the subsidy(and led to scams,20bn, etc)...and crucially...loss of investment that might have sorted out the whole mess.

SOLUTIONS
1.DANGOTE refinery MIGHT take care of the deficit we have in PMS production.(We have a deficit of 28-70million liters of PMS; no one knows the actual value..which means we have to import that deficit).But that comes in 2019..optimistically.

2.DEREGULATION...or govt stops setting prices..which would lead to an increase in prices (N200-300 IMHO, some nairalanders have suggested N400 per liter PMS). Yes..short term hardship...long term, investment,market forces, etc would force fuel prices down.And IPMAN would be able to import fuel, breaking NNPC monopoly.

3.NNPC needs to be privatized. As do the refineries. Govt business in Nigeria is badly run business.

4.We could build more refineries...which is where those modular refineries come in...and which nothing has been heard of.

Fin.

Catalyst4eva:
There has been accusations and counter accusations from different quarters and Organisations as to who is the cause of the fuel price hike that has greeted Nigerians this Yuletide.

NNPC blames IPMAN, IPMAN blames NNPC and Private Depot owners in return.

Who do u think is responsible for this? Your opinion matters....let's discusss.

MrRemedy:
IT'S THE PEOPLE, NOT THE GOVERNMENT..






how?

[b]

Wait ooo, na me first to comment sha.

That's a great achievement.[/b]

victorazyvictor:
Na GEJ and PDP

Respect55:
GEJ

Joenyam:
The truth is that Nigerians are always wicked to themselves.. everyone is looking for excessive gains during these periods. Cost of transportation will sky rocket to places you've been travelling to all year.


The government has failed to proffer long term measures to these problems, each year, each season it keeps coming back like a cockcroach.

Even to celebrate we can't do it in peace.