By Bisi Olominu

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The world economy has been battered by the outbreak of coronavirus, but that of Nigeria has been worse, as the economy, being a mono-economy that solely depends on oil, has been pummeled and one can see worry, fear and hatred on the faces of the downtrodden in the country. While the developed countries of the world provide succour for their people in form of palliatives and other incentives, in Nigeria what those at the helms of affairs are providing for their citizens are misery and hardship, attracting more hatred to themselves.
It would be recalled that the Group Managing Director of the Nigerian National Petroleum Corporation, Mele Kyari, had said the price of petrol could hit N300 per litre once the Petroleum Industry Bill (PIB) became a law. This bill has since been signed into law by President Muhammadu Buhari and Nigerians, in trepidation await the commencement of selling a litter of petrol for N300.
It would also be recalled that barely three months after the Federal Government turned down the recommendation by the Nigeria Governors’ Forum (NGF)for an increase in the price of Premium Motor Spirit, popularly called petrol, the Federal Government again has reiterated its stance, insisting that no decision on the adjustment of petrol price would be reached until the ongoing negotiations with the organised labour are concluded.
The Federal Government had first, on May 21, rejected the governors’ recommendation of shooting petrol price up to between N380 and N408.5 per litre and removing fuel subsidy.
The governors’ advice was based on the report of the committee chaired by Kaduna State Governor, Mallam Nasir El-Rufai, seeking the full deregulation of the oil sector.
El-Rufai, while presenting the report of his committee to the NGF, explained that the current subsidy regime is unsustainable because smugglers and illegal markets in neighbouring African countries are the beneficiaries.
However, the Minister of State for Petroleum Resources, Chief Timipre Sylva, in a statement, said the current petrol price of between N162 and N165 per litre would stay.
Sylva said the current price would be retained until the ongoing negotiations with the organised labour are concluded.
He said, “Once again, it has become necessary to assure Nigerians that despite the huge burden of under-recovery, the Federal Government is not in a hurry to increase the price of Premium Motor Spirit (petrol) to reflect current market realities.
”The current price of petrol will be retained in the month of June until the ongoing engagement with organised labour is concluded.
“This clarification becomes necessary in the light of recent reports regarding the resolution of the Nigeria Governors’ Forum to increase the pump price of petrol.”
Sylva also asked oil marketers not to engage in any activity that could jeopardise the “seamless” supply and distribution system of the commodity.
Despite the Federal Government’s initial stance, oil marketers under the aegis of Petroleum Products Retail Outlets Owners Association of Nigeria PETROAN, have demanded an immediate end to fuel subsidy in line with the state governors’ recommendation of May.
The President of PETROAN, Dr Billy Gillis-Harry, insisted that oil marketers’ position that fuel subsidy should be stopped remained.
“When it (fuel subsidy) is stopped, the prices of petroleum products will be determined by market forces, and this will create competition leading to an increase in product availability,” he argued.
Gillis-Harry asked the Federal Government to listen to the governors’ call, especially now that the country is grappling with funding challenges.
The Special Assistant on Media to the Minister of State for Petroleum Resources, Garba-Deen Muhammad, stated that he would re-echo the position of his boss, Sylva, who had earlier stated the position of the Federal Government on the matter.
Muhammad said people were free to make analyses and recommendations but stressed that the government’s position on petrol price had not changed.
He said, “The truth is that the key component for us to make the decision is basically for us to have a consensus with labour. So regardless of what the governors or anybody else is saying, labour is the key partner in this project.
“The negotiations with labour officials are ongoing. A decision will not be reached until the negotiations are over. So anybody can say what they want.”
He added, “The fact is that the labour represents the Nigerian people and the government is working with the Nigerian people. So it is a cardinal objective that the labour is carried along.”
Asked when the negotiations would possibly be concluded, Muhammad stated that the deadline was not completely dependent on the Federal Government.
Adding voice to this issue, the Deputy President of the Nigerian Labour Congress (NLC), Joe Ajaero said one of the conditions given by the labour force for full deregulation of the oil sector was that government must make the country’s refineries work before it can deregulate the downstream sector.
He said: “Is deregulation synonymous to price increase? If you say you are deregulating you allow market forces to determine. Why is the government saying petrol will sell at a particular price? That is equally price fixing.
“It is complicit for any Head of that corporation to be telling us what it will cost (to buy petrol) when they deregulate.
“What we understood from inception was that deregulation would be left for market forces; it (price of petrol) can come down, it can go up. So why is he fixing a price?
“It then means there is something more than meets the eye in the whole process.
“We at NLC have said that the refineries must work as a pre-condition. We didn’t say you deregulate and start to build refineries. It will not happen if they (government) first deregulate before fixing the refineries.”
The questions to ask are : Will this government revamp the four refineries? With the present economic hardship that Nigerians are undergoing, can they afford N300 per litter fuel?
Speaking on this, a motorist Mr Sunday Awolola said the price if finally fixed at N300, would dampen the morales of Nigerians and their economic woes would continue. He added that Nigerians are presently battling with how to settle their mounting children school fees, paying electricity bill, buying foodstuffs and several commitments.
” The final straw that will make Nigerians to hate Buhari’s government more will be the increment in fuel price. The government came on board on the toga of change, but we are not enjoying positive change at all. We cannot sleep with two eyes closed, and those of us working are not getting salary regularly. Some workers are using rickety cars and to pay our children school fees is becoming an herculean task. Many cannot eat three square meals again. Increasing the fuel price will add more sorry to Nigerians and the present security threat will be a child’s play compared to what will happen next.
” To get out of this, from the president and other political office holders, let them reduce their salaries to about 40percent. They are in office as a trust for us and this they must do until the economy improves. If indeed they are there to serve our interests, let them reduce their salaries.”
A commercial driver, Mufutau Ajaigbe plying Akure/Osogbo when asked about the proposed N300 litter of fuel, said the government would ignite the country with fire and if finally accepted those travelling would suffer for it. He added that Nigerians are presently suffering in agony and it will be good for those in government to put on their thinking caps and put smiles on the faces of Nigerians.
” This is not what I voted this government for. Presently Akure to Osogbo is N1,500 and people are complaining and some are even begging that it should be N1,000 per trip. To get a full load to Osogbo takes more than two hours because people are not travelling this time around. If government agrees to the proposed price of N300, it will bring more hardship on the country. Let those in government put our refineries in shape, I even learnt that they are not doing this just to loot our money more. Those ruling Nigeria should know that there is God who will finally judge them on the hardship they are bringing on the people.”
A student Yemisi Adeola said if the Nigeria Labour Congress, NLC, capitulated to the antics of the Federal Government, it would bring more pains and anguish to students.
According to her, ” Many parents are presently suffering from non-payment of salaries regularly, many are dying in silence and adding another fuel issue to these will make students to drop out of school. If indeed we are the leaders of tomorrow and those in government know that this nation is on hinges, they should stop the proposal immediately.”