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Imminent Fuel Increase as Petrol Landing Cost Rises to ₦1,117 Per Litre

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Fuel Pump

 

 

The landing cost of Premium Motor Spirit, also known as petrol, was N1,117/litre as of Tuesday, July 16, 2024, the Major Energies Marketers Association of Nigeria announced on Wednesday.

MEMAN disclosed this during a webinar with journalists on Wednesday.

The association revealed that the landing cost of diesel was N1,157/litre, while that of aviation fuel was N1,127/litre.

Reports indicate that the N1,117 landing cost of petrol is far above the pump price of the product in Nigeria.

At the moment, filling stations operated by the Nigerian National Petroleum Company Limited and those of the major marketers sell PMS at between N617/litre and N660/litre, while independent marketers sell for N700/litre or more.

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NNPC, the sole importer of petrol into Nigeria, has consistently denied subsidising the cost of PMS but refused to disclose the landing cost of the product.

Our correspondent reports that the revelation from MEMAN is almost the first from marketers in the industry as the landing cost appears to have been shrouded in secrecy by the importer of PMS.

MEMAN’s Executive Secretary, Clement Isong, said the costs were obtained from independent energy price benchmark providers.

The association maintained that it would release similar information regularly to keep the masses informed.

Recently, independent oil marketers accused private depot owners of hiking the ex-depot price of petrol from N630 to N720/litre.

An expert in the energy sector, Prof Wumi Iledare, told our correspondent in an interview that the cost of PMS in Nigeria was far below the international price, considering the price of diesel.

“The gap between the cost of diesel and petrol in Nigeria is much. It is never like that all over the world. That means something is wrong.

“I don’t know if NNPC is paying subsidies or not, but somebody is absorbing the difference. You can call it under-recovery or subsidy, but the price of petrol today does not reflect the market cost of producing a litre of petrol,” he disclosed.

Iledare added that with the current exchange rate, the price of petrol should not be less than 80 per cent of the price of diesel.

Corroborating this, a Professor of Economics at the University of Ibadan and President of the Nigerian Economics Society, Adeola Adenikinju, said, “The current price of PMS is being subsidised by the government. The government buys at higher rates and sells to us at subsidised rates. That is what they call under-recovery.”

The International Monetary Fund recently warned the Nigerian government to remove what it called implicit fuel and electricity subsidies.

In a report published recently by the IMF, the organisation told Nigeria that the subsidies would guzzle three per cent of the nation’s Gross Domestic Product in 2024 as against one per cent in the year before.

President Bola Tinubu declared the removal of fuel subsidies during his inauguration on May 29, 2023.

IMF noted, however, that “adequate compensatory measures for the poor were not scaled up promptly and subsequently paused over corruption concerns. Capping pump prices below cost reintroduced implicit subsidies by end-2023 to help Nigerians cope with high inflation and exchange rate depreciation.”

However, the NNPC and the Federal Government have vehemently denied subsidising the current price of PMS

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Gov. Yusuf accuses opposition parties of fueling political crisis in Kano metropolis

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Governor Abba Kabir Yusuf

 

 

Governor Abba Kabir Yusuf has accused actors in the opposition parties of fueling civic unrest and political instability in Kano.

Governor Yusuf pointed the accusing fingers while briefing journalists during the State Executive Council Meeting Wednesday, vowed to deploy drastic measures necessary to nip the resurgence of thuggery in the bud.

The Governor’s reaction follows the recent bloody crisis between some suspected political thugs who unleashed terror on another gang of politicians.

In a statement by Spokesperson of the Governor, Sanusi Bature Dawakin-Tofa, Governor Yusuf revealed that intelligence brief abreast with after the state security council held Tuesday clearly exposed the atrocities of those sponsoring unrest in Kano.

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According to the statement, the Governor posited the elements in the opposition, who are not comfortable with the steady development, peace and stability in the state, embedded to provoke needless crisis.

Gov. Yusuf however reassured determination of his administration to confront the challenges with equal force, insisted government would not henceforth, tolerate attempt by any elements to frustrate the enduring peace and tranquility in the state.

In the release, Governor Yusuf assured the resolution of the government to work with all the security agencies in the state to checkmate the excesses of the criminal minded elements being sponsored to cause problem.

Governor Yusuf will soon reopen the state own Reformatory Centre, at Kiru local government area as part of measures to rehabilitate and control drug abuse in the state.

During the Wednesday council meeting, the Governor also brief plans to inaugurate the newly constituted 46 of Shura Consultative Council compose of renowned Islamic Scholars, members of the academia, and other stakeholders.

To check unemployment, the Governor is determined to roll massive youth empowerment initiatives in the coming year to ensure that a significant per cent of the youth become self’relient.

 

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President Tinubu Arrives In Lagos Ahead Of Christmas Holiday

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President Bola Tinubu has arrived in Lagos from Abuja ahead of the Christmas celebrations.

The President was received at the airport by the Governor of Lagos State, Mr. Babajide Sanwo-Olu, along with other state officials.

He is expected to proceed to his private residence in the state.

His arrival follows the presentation of the 2025 budget to a joint session of the National Assembly on Wednesday.

He described it as the “Budget of Restoration: Securing Peace, Rebuilding Prosperity.” The proposal, he explained, is aimed at stabilizing the economy, fostering an equitable business environment, and promoting inclusive growth.

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Kano Approves 1st Term Vacation Date

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Kano State Government has approved Friday 20th and Saturday 21st Dec. 2024 as the date for the commencement of 1st term vacation to all Day and Boarding Public/Private Primary and Post Primary Schools in the state.

Therefore, Parents/ Guardians of Pupils and Students in the Boarding schools are to convey their wards home by the early hours of Saturday 21st Dec. 2024.

A statement by the Director Public Enlightenment of the State Ministry of Education Balarabe Abdullahi Kiru explained that Boarding Schools Pupils and Students are to resume back to their respective Schools on Sunday 5th January 2025 while the Day Students are to resume on Monday 6th January 2025.

The statement however quoted the Commissioner of the Ministry Dr. Ali Haruna Makoda urging Parents/Guardians of Pupils and Students of the schools to ensure total compliance with resumption dates.

The statement further warned that appropriate Disciplinary Action would be taken against defaulting Students

It appreciated the cooperation and support given to the ministry and wished the Students and Pupils successful and hitch free holiday.

 

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