Government Denies Fuel Price Increase And Return Of Subsidy

It was learnt that the fuel crisis may have been instigated by petroleum marketers to frustrate supplies of petrol at depots and filling stations in order to get a higher import allocation from the Federal Government and ensure that it cancels its price modulation mechanism and resumes subsidy payment. Some marketers said it may not be easy to eliminate the fuel scarcity as promised by the Minister of State for Petroleum, Ibe Kachikwu, as it may take about two to three more weeks to get fuel into the country’s depots.

It has also emerged that the Federal Government made $247.45 million from crude oil and gas sales in the month of February 2016. But a total of $236.7 was used by the Federal Government to settle Joint Ventures Cash Calls.

Meanwhile, the electricity sector is faced with one of its lowest moments which has forced the nation into a lingering blackout, even as the scarcity of fuel denies domestic and commercial consumers from operating alternative private generating sets.

As at yesterday, the fuel crisis situation had not showed signs of easing as motorists waited endlessly to purchase the product. The February PMS report, entitled “Premium Motor Spirit (Petrol) Price Watch”, fuel prices averaged N99.76 per litre in February 2016 as against the stipulated pump price of N86.50.

As at yesterday, most petrol stations in Lagos have closed down while the few dispensing the product are selling at between N130 and N200 per litre.