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FG Returns Petrol Subsidy, Retains Official Pump Prices - Politics - Nairaland

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FG Petrol Subsidy Now N26 Per Liter / Petrol Subsidy Returns As Nigeria Pays N28 Per Liter / Oby Ezekwesili Speaks On Petrol Subsidy Removal (2) (3) (4)

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FG Returns Petrol Subsidy, Retains Official Pump Prices by mcgaius: 2:10am On Apr 03, 2016
Okechukwu Nnodim

The Federal Government on Saturday recommenced the payment of subsidy on petrol as it subsidised the commodity by N5.84 for every litre of premium motor spirit consumed in Nigeria.

Subsidy on petrol was stopped in January after the review of the pricing template of the product by the government.

It also announced that the current official pump prices of petrol would remain at N86 per litre when purchased at filling stations run by the Nigerian National Petroleum Corporation and N86.5 per litre when sold at outlets operated by other oil marketers.

The government further said petrol scarcity would end in a few days, but was silent on the specific day or date.

Figures from the latest pricing templates of the Petroleum Products Pricing Regulatory Agency released on Saturday, showed that the Federal Government was paying N5.84 as subsidy on every litre of petrol sold at non-NNPC filling stations.

The PPPRA is the agency of the Federal Government that regulates the prices of white products — petrol and kerosene, across the country.

According to the agency, the Expected Open Market Price of petrol for non-NNPC stations as at April 2, 2016, was N92.34 per litre, against an official pump price of N86.5 per litre, leaving an under-recovery or subsidy of N5.84 per litre.

Similarly, the template for NNPC-run stations showed that the government was paying N5.80 per litre as subsidy, as the EOMP for outlets in this category was N91.80 per litre as against an official rate of N86 per litre.

The EOMP is the actual cost of petrol without subsidy and comprises of the landing cost of the product as well as its subtotal margins like transporters charge, admin fee, dealers cost, bridging fund, etc.

On the retained pump price of petrol, the Acting Executive Secretary, PPPRA, Mrs. Sotonye Iyoyo, said, “The agency is retaining the retail prices of N86.00 for the NNPC, and N86.50 for the other marketing companies. The pump price of household kerosene also remains unchanged from what it was in the last quarter.

“Therefore, marketers are advised to ensure that there is no price distortion in their respective retail outlets. PPPRA, however, shall continue to monitor the global oil market performances, and come up, at appropriate time, with reasonable changes consistent with the newly-adopted price modulation principles.”

On news making the rounds that the agency was planning to increase the petrol price, Iyoyo urged members of the public to ignore such rumour, as prevailing market indicators do not support such.

She also called on motorists to desist from panic-buying, stressing that “PPPRA was working hard with other sister-organisations to ensure that the current supply and distribution challenges were resolved within the coming days.”

Meanwhile, the agency stated that it had released the second quarter allocations for the supply of petrol, based on the approval of the Minister of State for Petroleum Resources, Dr. Ibe Kachikwu.

It said, “In the latest release, the apex national oil company, the NNPC, has 41.74 per cent of the total allocation, while the rest of the oil marketing companies got a total allocation of 58.27 per cent.”

http://www.punchng.com/fg-returns-petrol-subsidy-retains-official-pump-prices/

1 Like 1 Share

Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by juicyboobs(f): 2:11am On Apr 03, 2016
Good decision.

1 Like 1 Share

Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by Nobody: 2:15am On Apr 03, 2016
In what universe are these guys living?

140 Likes 8 Shares

Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by fistonati(m): 2:25am On Apr 03, 2016
What is this government up to, thinking its an expert when its obvious its a learner but failed to admit so. Nigerians failed to choose transformation but opted for chain.

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Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by fistonati(m): 2:26am On Apr 03, 2016
Dungeon
jerseyboy:
In what universe are these guys living?

19 Likes 3 Shares

Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by Nobody: 2:32am On Apr 03, 2016
grin cheesy cheesy grin grin grin cheesy


apc and confusion

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Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by jmichlins(m): 2:37am On Apr 03, 2016
Well its official we have been deceived. Subsidy is the bedrock of corruption in nigeria that does no one any good cause we as consumers will never get the product as official rate yet government will claim that it pays for it and our dreaded cabals can choose to lockup any day or moment

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Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by nnachukz(m): 2:47am On Apr 03, 2016
Subsidy is a scam......Buhari 2014.
We will pay subsidy to marketers at least for now...... Buhari 2015/2016.
And one zombie will tell me this man is not confused.

Crude oil price fallen to 60pb, FG has no reason to sell fuel above N40per litre to Nigerians if they weren't corrupt.... Buhari and his group 2014/2015.
Today, crude is at below 40pb and FG headed by Buhari is selling fuel to Nigerians at N150per litre and now proposes N86.5per litre.

Another zombie will tell me Buhari is not a liar and a deceiver.
Well suffering and smiling are special hubbies for all zombies.

385 Likes 45 Shares

Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by hurricaneChris: 2:51am On Apr 03, 2016
After England lost worldcup hosting right to Russia in 2018, the then fifa president, Sepp Blatter, allegedly said "English football is run by 1diots"

Ashley Cole re echoed it when he called english FA "bunch of twats"

Am actually feeling this country is run by 1diots. From petroleum to power, finance to information ministries, they all look confused.

Something tells me Buhari installed these guys in these ministries to embarrass them.

Else can anyone tell me why it looks like this confused govt is a one man show?

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Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by tamonokare: 2:53am On Apr 03, 2016
Na wa for Buhari ooooo.... Wish I can fast-forward Nigeria to 2019 when he'll be voted out of Aso Rock to Daura.

103 Likes 3 Shares

Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by ki02020(m): 3:24am On Apr 03, 2016
Anticorruption:
grin cheesy cheesy grin grin grin cheesy


apc and confusion

Be reasonable for once...you and I know subsidy is not one of the things that should be part of the present nigeria economy situation...the only mistake the FG made was not putting the right measures in place before the subsidy was removed to prove oil marketers are dispensable....now their oog motive of cutting cost has back fired

9 Likes 1 Share

Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by wordychap: 3:38am On Apr 03, 2016
There was no way subsidy wouldn't return forasmuch as d price of crude fluctuates drastically.
Now is d time to put d anti-corruprion war to test in d subsidy payment. Wish d govt luck.

5 Likes 2 Shares

Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by makingsense(m): 4:00am On Apr 03, 2016
Buhahahari

127 Likes 7 Shares

Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by MoneypassGod(m): 4:33am On Apr 03, 2016
Someone shuld go back in history and give Buhari's father a condomm

132 Likes 16 Shares

Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by amaechi1: 4:40am On Apr 03, 2016
Anticorruption:
grin cheesy cheesy grin grin grin cheesy


apc and confusion

Nigerians will also complain even when decisions are taken in their favour. In the bid to alleviate the suffering of the people, the government return subsidy payment for independent marketers and that is what people like you see as confusion.

29 Likes 4 Shares

Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by Tex42(m): 4:54am On Apr 03, 2016
And we keep changing ;the only thing that is constant in life...

Economic policies in this change dispensation keeps traveling and changing locations like the commander in chief(bubu).

Govt of back and forth.

30 Likes 4 Shares

Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by Firefire(m): 4:54am On Apr 03, 2016
When some of us mentioned repeatedly that this government and its handlers are naïve, fraudulent and incompetent, we are very sure of what we are saying.


https://www.youtube.com/watch?v=YmG_dYY7YRA&hl=en-GB&gl=NG

APC before coming to power condemned the last administration on fuel subsidy payment, President Buhari even mentioned he knows nothing about what fuel subsidy means. "What is Fuel Subsidy" - GMB?

Few days back (30th March 2016) APC government went public to declare 100 billions of Naira monthly saving through fuel subsidy removal.

http://dailytimes.ng/save-n100b-monthly-subsidy-removal-nnpc/

Alas, Nigerians are the ones paying for the fuel subsidy indirectly, see my response to the thread below:

Firefire:
“We have been able to eliminate subsidy payments by managing prices at current levels through price modulation. This has resulted to savings of N100 billion monthly for the nation,”

Nonsensical nonsense.

Why is this government so deceitful and fraudulent ? You mention savings and price management ?

See my computation below, and let someone tell this government to stop telling lies about savings when Nigerians are the one indirectly paying for the removed subsidy.

Few days later (3rd April 2016) same government is now announcing the returns of petrol subsidy by N5.84 for every litre of premium motor spirit consumed in Nigeria. Please, why are they returning the alleged fraudulent fuel subsidy payment

Making a simple calculation on the impact of this returned fuel subsidy: {5.84 x 41 Million Liters consumed per day x by 30 days = N7.1 Billion monthly fuel subsidy payment.}

You will all recall Alhaji Aliko Dangote predicted that the removal of fuel subsidy will make Nigerians to exchange $1 for N500. (We almost hit the target).

See what APC leadership have to say to justify the subsidy removal:

According to Ibe Kachikwu: “We can’t even understand where those subsidies were going to. There are a lot of fraud elements in it so we need to cut that off.

The call for government to scrap the payment of subsidy on petrol has become louder recently following the drop in crude oil prices.

Also, All Progressives Congress and former Governor of Lagos, Bola Tinubu, joined the call for the government to scrap the subsidy regime.

Mr. Tinubu, who had opposed the removal of the subsidy under the administration of former President Goodluck Jonathan, said subsidy was originally a good idea, but it had since been “perverted”.


Criminalizing fuel subsidy payment and outright removal without finding a lasting solution to the variables in itself is a FRAUD.


Fellow Nigerians, can you now agree with me that this government is fraudulent, corrupt and clueless ?



Please here your president & APC statement on fuel subsidy removal.


https://www.youtube.com/watch?v=f0M_rh0jLi8

169 Likes 33 Shares

Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by eagleeye2: 5:00am On Apr 03, 2016
It's a pity that some people didn't see things clearly before foisting this man on us. Why all these confusion?
Everyday, I try to see reason to believe in this great nation, but our leaders are doing everything possible to make me believe that we can't Trust Nigeria with our Future.

77 Likes 7 Shares

Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by eagleeye2: 5:05am On Apr 03, 2016
amaechi1:


Nigerians will also complain even when decisions are taken in their favour. In the bid to alleviate the suffering of the people, the government return subsidy payment for independent marketers and that is what people like you see as confusion.
Nigeria cannot SUSTAIN the SUBSIDY regime. That's the simple truth. Let FG deregulate the oil sector and quit fixing pump prices for marketers. You cannot deregulate fully and still fix price, it won't work. And they are not doing us a favor by re-introducing the subsidy. No. The winner is still the CABAL.

82 Likes 6 Shares

Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by raker300: 5:06am On Apr 03, 2016
When the previous administration removed subsidy, the same nigerians from a particular region hurled curses at the president. The former president couldn't do anything right in their eyes.

Now, the same folks are saying subsidy is a scam...smh

64 Likes 6 Shares

Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by Nobody: 5:13am On Apr 03, 2016
Please guys, how much can I get a secondhand 15.6 screen for my laptop? Just discovered it has been damaged.

Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by brixton: 5:13am On Apr 03, 2016
Everyday we see reasons to regret voting in chain-ge

45 Likes 1 Share

Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by AdemolaA2: 5:15am On Apr 03, 2016
3
Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by chinchum(m): 5:16am On Apr 03, 2016
Government can deregulate the sector, once the in house refineries can meet our local need, hopefully in 2018 with Dangote refinery / 3 current refineries set to be privatised.

4 Likes

Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by Nobody: 5:16am On Apr 03, 2016
brixton:
Everyday we see reasons to regret voting in chain-ge

If them remove subsidy you go shout. If them retain am you go shout. Wetin exactly you want?

4 Likes

Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by Nobody: 5:16am On Apr 03, 2016
The government needs to be fastidious in its policies. You can't say no to subsidy today, and yes to subsidy tomorrow. Such policy swing only erodes citizens' confidence in the government. Absolute deregulation is all we need to make queues a forgotten sight at our gas stations. It has never worked with subsidy payment and it will never work. In all of these, one thing I have observed is that there are problems afflicting the country that seem to defy all solutions no matter who is in charge. Obasanjo could not fix the power and oil sectors despite being the Minister of Petroleum for eight years. All the brilliant minds he appointed to head the power ministry also failed woefully. Who can forget how Bola Ige was moved to the justice ministry to save him from humiliation when the cabals in the power sector nearly ate him up? Same thing happened under GEJ. I don't know if these sectors are 'accursed' or it is just plain human failings. Because I find it hard to believe that Kachiukwu and Raji Fashola, two brilliant minds, could be at their wits end over what to do about the energy and power crises. For those who disagree, I am only thinking aloud.

23 Likes

Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by Nwogbe: 5:18am On Apr 03, 2016
wow! I tire for apshit.

14 Likes

Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by 989900: 5:18am On Apr 03, 2016
At less than $40/barrel? undecided

10 Likes

Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by Nobody: 5:19am On Apr 03, 2016
Bad decision......and here is why I think so...

According to the agency, the Expected Open Market Price of petrol for non-NNPC stations as at April 2, 2016, was N92.34 per litre, against an official pump price of N86.5 per litre, leaving an under-recovery or subsidy of N5.84 per litre.

Similarly, the template for NNPC-run stations showed that the government was paying N5.80 per litre as subsidy, as the EOMP for outlets in this category was N91.80 per litre as against an official rate of N86 per litre.

The EOMP is the actual cost of petrol without subsidy and comprises of the landing cost of the product as well as its subtotal margins like transporters charge, admin fee, dealers cost, bridging fund, etc.

In other words....the government is going to be paying millions of naira ......hundreds of millions of naira every day in the name of subsidy.Money that would have been saved and used for other things.....like health, education, and even new refineries.

Nigeria needs about 43million liters of fuel a day. Subsidy will chop....N258million naira a day. In other words.....WE ARE THROWING AWAY N260million naira daily....Somebody get me a handkerchief.


2.Out of the 43million....17 million is produced at home....IF refineries are working. That means....we are subsidizing fuel that is imported from outside the country.In other words....we dig a hole and pour N200million into the hole daily. (What?).

3.Finally....we are not allowing marketers make enough money to buy fuel. It goes back to EOMP which is....

the actual cost of petrol without subsidy and comprises of the landing cost of the product as well as its subtotal margins like transporters charge, admin fee, dealers cost, bridging fund, etc.

In other words....we are just paying them the money they spend on administrative costs to bring in the fuel. Which means they cannot set prices,and they cannot make a profit. And they need to set prices....because they need more naira to go and get dollars to import the thing....ESPECIALLY since NNPC has handed back the reins of control of imports back to them.

So...the only way they would make profit is by lying about how much they import...and collecting more money for fake import claims. That is what the cabal did during the last admin....and I see them doing the same again
.

And if govt clamps down on them...there would be queues because the marketers do not have enough naira to purchase dollars at the market rate. And with oil prices falling...the naira is going to continue depreciating.....especially in the parallel market.

I am sorry....but subsidy is a bad idea. We keep it...because Nigerians prefer low fuel prices to savings.

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Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by otukpo(f): 5:20am On Apr 03, 2016
And someone would tell me that Apc is prepared for governance.

We are in serious trouble in this country.
By the time Apc is through with their back and forth policies, admittal and denials in this country, even the zombies will agree that they made a mistake.

38 Likes 3 Shares

Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by kenedy175(m): 5:21am On Apr 03, 2016
They never had any plan to move the country forward. All they wanted was to seize power.

According to one of our pediatric lecturers, our leaders suffer from Executive Dysfunction because they were malnourished as children. This manifests later in life when it comes to decision making and it's likes...

30 Likes 3 Shares

Re: FG Returns Petrol Subsidy, Retains Official Pump Prices by adren(m): 5:24am On Apr 03, 2016
Your wailing and ranting doesn't stop adventurer buhari from touring the world again after his arrival from DC washington.. This time around to niger republic to commemorate with the president elect on his victory and apologise for coming late..


Lemme go and iron baba's agbada meant for the trip..


Mind you, sai baba is not using Nigeria's tax payer's money to travel around the world, he's expending proceeds from subsidy removal to do that... He's the wisest president nigeria's ever heard..


I can tell you all this affirmatively because I'm an anonymous source living in presidential villa..

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