The recent announcement by the Nigerian National Petroleum Company Limited (NNPCL) to hike the ex-depot price of Premium Motor Spirit (PMS) to an unprecedented level has left many Nigerians outraged and confused. The Independent Petroleum Marketers Association of Nigeria (IPMAN), which controls over 70% of the nation’s filling stations, has not only rejected this price hike but also threatened a total shutdown of their operations if the NNPCL does not back down from its new pricing regime.
This unfolding crisis presents two questions that every Nigerian is asking: Why is this happening, and why does the government seem so indifferent to the plight of its people?
A Punishment in Disguise?
The new petrol prices set by NNPCL, ranging from N1,010 to N1,040 per liter at ex-depot, and even as high as N1,200 when factoring in logistics, have left many struggling to understand the rationale behind such a move. How can the NNPCL justify selling fuel to the general public at lower prices at its retail outlets (N998 per liter) while selling to marketers—the majority of whom serve Nigerians in rural and suburban areas—at a higher rate? This uneven pricing suggests a lack of regard for the economic realities faced by the everyday Nigerian.
In a country where inflation is skyrocketing, jobs are hard to come by, and poverty is on the rise, this fuel price hike seems like a calculated punishment. The impact of such a price increase will ripple through every sector of the economy. Transportation costs will skyrocket, food prices will rise, and the cost of living will become unbearable for most Nigerians. Yet, the government and NNPCL appear to be tone-deaf to the suffering this policy will unleash on the masses.
Deregulation in Name Only
The government has claimed that the price hike is driven by “market forces” and is a necessary part of deregulating the petroleum sector. But can we truly call this deregulation when the government—through NNPCL—still holds the reins of control? Deregulation, in theory, should lead to competitive pricing and increased efficiency. What we see here, however, is the exact opposite: NNPCL is exercising monopoly power, setting prices without regard for the principles of fair competition or the welfare of the population.
IPMAN has rightly pointed out that this is not deregulation; it is exploitation. By setting higher prices for independent marketers and lower prices at its own outlets, NNPCL is effectively cornering the market, creating an artificial scarcity that will only benefit its own business while devastating the Nigerian economy. This creates a scenario where fuel prices in the majority of filling stations will hit N1,200 per liter or more, further punishing everyday Nigerians who rely on fuel for their livelihoods.
Where is the Leadership?
President Bola Tinubu campaigned on promises of economic reforms, stability, and development. Yet, under his leadership, Nigerians have been subjected to crippling economic policies that favor the wealthy and well-connected while leaving the average citizen to bear the brunt of the pain. His administration has remained disturbingly silent as NNPCL rolls out these new price hikes, showing little concern for the suffering it will cause.
Where is the leadership Nigerians voted for? Why is the president allowing the state-owned NNPCL to impose such a burden on the people? It is hard to ignore the fact that this policy benefits a small elite while plunging the majority deeper into poverty. The Nigerian Labour Congress (NLC) has called for an immediate reversal of the price hike, but will the government listen?
The Reality for Nigerians
For many Nigerians, this fuel price hike is the final blow in an already difficult existence. Nigeria is a country blessed with abundant natural resources, yet its people continue to suffer due to poor leadership and mismanagement. This latest decision by NNPCL to impose exorbitant fuel prices serves as a grim reminder of the disconnect between the government and the citizens they are supposed to serve.
The NNPCL and President Tinubu’s administration must recognize that pushing these prices further will only increase the level of suffering across the country. Transportation costs will skyrocket, prices of essential goods will soar, and inflation will worsen. Ultimately, it will be the poor and working-class citizens—already struggling to survive—who will bear the brunt of these decisions.
A Call for Action
Fuel Price Hike: Nigerians must demand accountability from their government and NNPCL. This fuel price hike is not just an economic issue; it is a moral one. Leaders are elected to serve the people, not to exploit them. The NNPCL’s current pricing strategy does nothing but deepen the poverty trap for millions of Nigerians. The president and his administration must act swiftly to reverse these harmful policies before the situation spirals further out of control.
It is time for the government to listen to the cries of the people. Nigeria cannot continue to function under the weight of such economic oppression. We must demand fair pricing, real deregulation, and a government that truly works for its citizens, not against them.
Let’s speak out, demand action, and hold our leaders accountable. The future of Nigeria depends on it.
Reference
Petrol price hike: IPMAN tackles NNPCL, threatens to stop operations published in punch
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