Fuel price hike, scarcity trail Tinubu’s subsidy removal announcement

In a knee-jerk reaction to the confirmation of fuel subsidies removal by President Bola Ahmed Tinubu’s administration, marketers and operators have increased petrol pump price to N210-N500 per litre.

In his inaugural speech on Monday, the President said since the immediate past President, Muhammadu Buhari, did not budget for fuel subsidies in the second half of the year, the payment is gone for good.

A check by Track news on Monday evening around the Nation’s capital showed that long queues are back as residents buy fuel for 210/per litre against N195/per litre. However, some filling stations in Kubwa expressway, Lugbe still sell fuel at N195/per litre.

In Lagos, the sharp increase in fuel pump price is almost 100 per cent as Lagosians purchase the product for N370/per litre from 180/per litre.

In Warri Delta state, the pump price had jumped to N500/per litre.

In the case of Niger state, fuel pump prices had increased to 210 -300/per litre.

These price changes happened less than six hours after Tinubu’s announcement during his inaugural speech at Eagle Square, Abuja.

Buhari had budgeted for fuel subsidies till the end of June, which implies that most fuel products available are still enjoying the subsidies regime.

Mr Julius Eze, a bolt driver in Abuja, disclosed that the sharp increase is unfair.

“Petrol marketers are the real problem of Nigeria. Though, some of us saw it coming,” he said.

No need for panic buying- NNPCL tells Nigerians, backs Tinubu

Speaking on Tinubu’s decision to remove fuel subsidies and the operators’ reaction to the development, the Group Chief Executive Officer of Nigerian National Petroleum Corporation, Mele Kyari, on Monday, said he backed the President, assuring Nigerians that there is no need for panic buying.

Kyari noted that the company had enough product to supply the country for the next 30 days and was monitoring its supply and distribution networks around the country.

Earlier, DAILY POST had reported that Taiwo Oyedele, the Fiscal Policy Partner and Africa Tax Leader at PwC, had advised the President to put content into his position on fuel subsidy removal.

He said the President should ensure the fuel supply is sufficiently available for Nigerians to curb panic buying.

Apply caution on fuel subsidy removal – NUPENG tell Tinubu

In a statement, the Nigeria Union of Petroleum and Natural Gas Workers, NUPENG, urged Tinubu to apply caution in its decision on fuel subsidy removal.

The President and the General Secretary Prince Williams Akporeha and Afolabi Olawale, respectively, said the new administration must take its time to end fuel subsidies.

“Any major policy decision on the removal of the subsidy on this essential economic item should be taken with extra caution given the enormous implications and the impacts on the overall economic activities of the nation and other unintended consequences on the ordinary citizens considering the socio-economic importance of the product,” he said