GavelSlam:


When Dangote's refinery comes on stream the industry would be fully regulated.

Doing so would lead to competition and a stable price regime.

whatofyou:


This country is slowly getting to full-time paralysis if we should put all our eggs into dangote's refineries; if the government doesn't know the fundermentals of what a nation ought to be then why not resign! What can one really boast that they have 'giftedly' gotten our government since time immemorial.

7lives:


What we need is more private refineries and an outright ban on fuel importations.
All these THIEVING oil marketers should release their licences, go and do NEW business.
No be BY FORCE to sell petroleum products na.

7lives:


What we need is more private refineries and an outright ban on fuel importations.
All these THIEVING oil marketers should release their licences, go and do NEW business.
No be BY FORCE to sell petroleum products na.

deenee:


First and foremost I didn't abuse anybody whilst trying to pass my message across and I would expect that you don't do same to me or any other person for that matter.

It's very simple.....and I will say again...if the fuel importers feel they are not making profit from their importation, they should close shop and look for another business to do. It is not by force to be a fuel importer. The same scenario played out with cement until Dangote started manufacturing cement in Nigeria. We tried subsidy and we know how it ended up being used for fraud. Even up till now the Govt of the day is still redeeming sovereign debt notes from subsidy claims in the past and you say govt should start subsidizing again? Hell No!


Now they are asking for tax holidays....from my very little understanding of business economics tax holidays only make sense for investors looking to inflow long term FDI for critical development, to encourage SMES and for CSR reasons.

I say again if this option is considered...it will still be abused and more most of these marketers and importers save for the big 5 (Oando, Forte, Nipco,MRS and Mobil) only prepare management accounts and already even evade tax so granting them tax holidays will only create room for them to legalize this.

This is akin to how our Igbo brothers in the east will travel to China to ask their Chinese manufacturers to reduce the quantity and quality of components used in manufacturing items for import so they can make more margins. Every body is just rent seeking and we at the same time want the country and govt of the day to succeed.

God bless Nigeria.

cyberguy72:
Sorry for being too harsh.But I was thinking you u would proffer a solution to the fuel quagmire.What do we do to remedy this situation.I for one think deregulation is the most sincere thing to do now.Something GEJ wanted implement then but for the massive protest by Buhari and his 40thieves gang.I know Bubu would never toe deregulation becos it wud seems like going back to his vomit.

LionDeLeo:

How does my comment say otherwise?

grandstar:


I had five distinctions in my GCE and repeated the same feat in WAEC. Had A1 in Economics, Geography and Government. Even had A3 in both maths and English.

deenee:



Deregulation will not work in Nigeria. What a lot of people don't know is that fuel is the oxygen that drives the Nigerian economy. At this point govt cannot deregulate and leave the citizens at the mercy of the greedy fuel importers. If this is done there will be total chaos. First you need to understand that these importers work like a cartel and will use price to blackmail people just as they are using artificial scarcity to do same

I know people will say AGO and DPK have been deregulated but truth is what is the market size for those that use these two products combined compared to PMS. In lay man's terms, how many people still use kerosene stoves? Most use gas now and there is even firewood as an alternative, also how people use diesel generators?

If govt does not keep a close watch on fuel prices, there will be total chaos in the system.
And the 145naira price was agreed using dollar conversion of 360naira to the dollar. Now they get dollar @ 305-306naira so it's ironic that they are screaming blue murder. They even get priority service when it comes to funding their Letters of credit.

Imagine that last week Sunday you go to your barber and this week you repeat the same trip only to hear that cost of haircut has tripled because fuel price has also tripled. A lot of small businesses depend on fuel for sustenance and living the price at the mercy of importers is not advisable.

I hear that the Govt has agreed to make dollar available to them @ below the previous rate of 305naira....let see which excuse they will bring up now.


God bless Nigeria.

P.S I will still reiterate that landing cost for PMS is not 171 naira because I have facts to back up my claim and for those that don't know NNPC is ideally meant to be aback up importer focusing on import only for strategic reserves which is what we have been enjoying since the hoarding and artificial scarcity started

Instead of hammering on import only why can't they pull their resources together and build a modular refinery?


Yet again I can't wait for Dangote to finish his refinery because I know that the refinery will be a game changer!

ihatesycophant:
But you misfired in your comment. Don't do that again. Let people always know from your comment that this is an intelligent fellow.

Neoteny:


Read back what you wrote.

Tax is and never was the issue.

They just want to use tax waivers to alleviate their costs

omenkaLives:
A holiday is a time of rest, break or less work. Tax holiday is therefore a period of "tax rest", "tax break" or "less tax".

I explained that in the simplest terms.

Giving them such holiday simply means the expenses they incure upon importing the products would be less, therefore even if they sell at lower or regulated prices, they'd still make reasonable profits.

Vanpascore:
Thank you for the enlightenment.

Gerrard59:



I greatly appreciate your treatise on economic issues. Right from the days of PE.

However, at the bolded, what has made it difficult for Nigeria to provide constant electricity to her citizens? Like the poster you quoted, I also believe deregulation is the best thing for Nigeria at this stage. And yes, I agree with you that deregulating the sector now will usher in high prices of goods and services across the land because of petrol. Question is: Why can the government not be able to provide constant electricity? By then, I believe deregulation will be in order.

Thanks.