Editorial
No To New Fuel Pump Price
The recent increase in the pump price of the Premium Motor Spirit (PMS) from N165 to N179 perlitre across Nigeria has come as another rude shock to millions of Nigerians. This development necessitates another clarion call on the Federal Government to find lasting solutions to the lingering fuel crisis still bedevilling the oil-producing country.
Indications that the cost of PMS may go higher manifested when the product became scarce with long queues at filling stations in parts of the country since February this year. Specifically, residents of the Federal Capital Territory (FCT), Lagos and a few other cities had to bear the brunt of the shortage. The situation altered when fuel stations unilaterally changed the pump price.
The Nigerian National Petroleum Corporation (NNPC) Limited initially denied issuing a directive on the new petrol price, claiming that fuel pricing directly falls under the responsibilities of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA). But even at that time, filling stations owned by the corporation were selling the product at N179 all over the country. However, it was surprising when the NNPC stealthily approved an upward review of the product’s price.
NNPC, in a notice to fuel marketers, directed them to change the petrol price on pumps to the new price regime. This was even as the company equally increased the ex-depot price from N148.17 to N167 per litre. That came after weeks of a resurgence of petrol scarcity in the country as fuel retailers were adopting different price bands to compel unofficial deregulation attempts.
Expectedly, the sudden hike has effected an exponential increase in transport fares, with a domino effect on the costs of consumables. There is also the loss of valuable man-hours as fuel-seeking transporters are held up at some filling stations. All these have, no doubt, exacerbated the persisting hardship experienced by the citizens, still grappling with a soaring inflation rate, among others.
Blaming the development on the non-payment of backlogs of bridging claims, an increase in the cost of diesel by tanker drivers to transport products across the country, among other issues, oil marketers had been adamant on their preferred price regime. According to the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), the supply of PMS could not sufficiently meet demand, hence, the need for total deregulation of the sector.
PETROAN said PMS sold for between N158 and N160 in the private depots where marketers were coerced to buy because the NNPC depots were inoperative, thus, selling at the official pump price was unrealistic. The Major Oil Marketers Association of Nigeria (MOMAN) had joined their counterparts in the Independent Petroleum Marketers Association of Nigeria (IPMAN) and the Natural Oil and Gas Suppliers Association (NOGASA) to call for an upward price review of the PMS.
The marketers also attributed the inability of the Central Bank of Nigeria (CBN) to meet foreign exchange demands from the private sector as a reason for the fuel hike. According to the President of the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), Festus Osifo, the oil marketers were unable to obtain forex at the CBN rate, which is cheaper than the parallel market.
Regardless of the economics and price dynamics of the importation and distribution of petroleum products in the country, we insist that the new PMS price should be reversed forthwith. We urge organised labour, workers, and the masses to reject any further increase in the pump price of fuel from the old rate in the guise of gradual subsidy removal. Nigerians should prepare for a total war against the fuel price hike.
Petroleum marketers are not without blame. They have deliberately contributed to the rise in fuel prices through dubious practices. To date, some private depot owners have failed to reduce their ex-depot price. Some independent marketers still vend fuel between N190 and N200 per litre. The relevant authorities should engage these depot owners to revert their prices. And as critical stakeholders in the economy, they must be availed of foreign exchange at the official rate.
IPMAN has to back the Federal Government’s efforts to eliminate corruption in the downstream sector. Corruption by some government officials and insufficient supply of the products by the government agencies are some challenges of appropriate pricing and distribution. NNPC is not helping matters because the product is always not available, compelling the marketers to rely solely on private depots who sometimes sell higher than the official prices.
We are genuinely concerned about the deception and duplicity associated with the politics of petroleum pricing by successive Nigerian governments. The perennial upward review in the pump price of fuel is a transfer of the government’s failure and inability to effectively govern to the poor masses. Lamentably, Nigeria is the only member of the Organisation of Petroleum Exporting Countries (OPEC) that cannot refine its crude oil.
Between 2012 and now, about $9.5 billion has been spent on Turn Around Maintenance (TAM), Greenfield Refinery Projects and even public investments in private refineries. The tragedy is that despite these humungous investments of public funds, the government continues to present the crisis of mass importation of refined petroleum products into the country and the consequent import-based pricing regime of the products as an accomplished fact.
Nigerians cannot bear another hike in the pump price of PMS. As an alternative, the system should shed the weight of wastage, imbibe transparency, make the daily energy requirements of Nigerians available and at an affordable cost. The quick rehabilitation of the existing refineries and the building of additional ones are imperative. A government that cannot clip the wings of sharp practices, reduce wastage and sleaze in the oil sector has no business remaining in power.
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That Oshiomhole’s Call On FG’s Road Projects
There are moments in the life of a legislature when plain speaking becomes a public service. Senator Adams Oshiomhole provided such a moment on the floor of the Senate when he accused the Minister of Works, Senator David Umahi, of manifestly neglecting critical federal arteries in Edo and Delta States, and implored his colleagues to prevail on the Minister to adopt a more equitable and genuinely national approach to road infrastructure delivery. It was blunt, it was uncomfortable, and it was necessary.
The specifics of his complaint deserve restating. Drawing attention to the recent approval of some 20 new road projects despite the parlous state of existing ones, the former Edo State governor lamented that Nigerians cannot travel from Benin to Warri, Benin to Asaba, Benin to Auchi, or Auchi to Okene without encountering severe distress. He alleged a deliberate omission of these corridors from the national budget in the last three years, save for palliative interventions directed by President Bola Tinubu through tax credit arrangements. His question — “What have we done wrong?” — resonates far beyond the chambers of the National Assembly.
We lend our full and unequivocal support to that call. The Auchi-Benin Road, for instance, has been in a deplorable and near-impassable condition for several years, turning what should be a two-hour journey into an all-day ordeal of broken axles, extortionate fares, and despondent commuters. The media have, on multiple occasions, chronicled the suffering of motorists, traders, and students who ply that route. To describe it as a federal road today is to stretch the meaning of the term beyond recognition.
This pattern of sidelining is not confined to Edo or Delta. Even here in Rivers State, the disposition of the Federal Ministry of Works has left much to be desired, particularly along the Eleme axis of the East-West Road. That road, which ought to be a flagship of federal presence in the Niger Delta, has remained in a wretched state for long. Those who use it daily — workers at the Eleme Petrochemical Complex, the two refineries, Onne Port, and the countless ancillary industries — can attest to its deterioration. Work has proceeded in fits and starts without the sustained urgency such a strategic road demands.
The Eleme stretch is not a mere intra-state byway. It is the gateway to the nation’s economic jugular. According to the Federal Ministry of Works and Housing’s 2023 Highway Condition Survey, only about 35 per cent of the country’s 36,000 kilometres of federal roads are rated as being in good or fair condition, with the remainder classified as poor or very poor. The East-West Road, conceived in the 1970s to bind the entire Niger Delta, remains unfinished in critical sections more than four decades after. If it had been treated as a priority, the perennial gridlock, carnage, and economic loss on the Eleme-Refinery junction would have long been consigned to history.
The irony is as painful as it is glaring. The Niger Delta remains the goose that lays the golden eggs. Data from the Nigeria Extractive Industries Transparency Initiative [NEITI 2023 Oil and Gas Audit] show that the region still accounts for over 78 per cent of Nigeria’s federally collected export earnings and about 65 per cent of total government revenue. The National Bureau of Statistics [NBS Foreign Trade Report Q4 2024] similarly confirms that crude oil continues to dominate export receipts. By every metric of equity and economic logic, a region that sustains the national purse deserves first-rate consideration in the allocation of infrastructure, not afterthoughts and tokenism.
Road infrastructure is not largesse to be dispensed by favour; it is the skeleton upon which commerce, cohesion, and citizenship hang. When contracts are concentrated in one geopolitical zone while other zones are left to contend with craters, it erodes trust in the federation itself. The World Bank’s Nigeria Development Update [June 2023] estimated that poor transport connectivity inflates the cost of moving goods by up to 40 per cent and costs the Nigerian economy an estimated $1.5 billion annually in lost man-hours and vehicle maintenance. If we profess to be one country, then equity must be the compass that guides key institutions before any project is executed. Development must spread round, not pool in one place as though other regions do not matter.
There is also a grave security dimension that can no longer be ignored. The deplorable condition of federal roads has become a veritable enabler of criminality. The NBS Crime Experience and Security Perception Survey reported over 2.5 million incidents of kidnapping-related occurrences nationally, with transport workers identifying bad road spots as prime ambush points. When vehicles are forced to crawl at 10 kilometres per hour through failed sections at Auchi, Sapele Road, or Eleme, they become sitting ducks for armed gangs. Fixing bad roads, therefore, is not merely about convenience; it is about safeguarding lives.
By his intervention, Senator Oshiomhole has hit the nail on the head and reminded Minister Umahi of a fundamental constitutional truth: public office is held in trust. The Ministry of Works is not a personal estate where contracts are awarded according to whim or political convenience. It is a national institution funded by the collective resources of Nigerians, including the oil and gas rents from the very communities whose roads are now neglected. The Minister must demonstrate balance, transparency, and a pan-Nigerian outlook in the distribution of projects that impact the daily existence of citizens. Selective neglect breeds suspicion, and suspicion is corrosive at a time when the nation is preaching unity, oneness, equity, and justice.
Consequently, the National Assembly must go beyond rhetoric and assert its oversight powers with vigour. Sections 88 and 89 of the 1999 Constitution [as amended] empower the legislature to investigate and expose any maladministration in the execution of federal projects. If an office holder is not acting rightly, it is the duty of the Senate and the House of Representatives to call him to order. Oversight must not be reduced to budget approval ceremonies; it must translate to field verification, public hearings, and insistence that the Federal Character principle, as enshrined in Section 14(3) of the Constitution, reflects in road awards.
Let the Auchi-Okene, Benin-Warri, Benin-Asaba, and Eleme East-West gangways be restored to motorable dignity. Let priority be given to completing existing, economically vital roads before embarking on new ones. If those who, through their resources, sustain the federation are sidelined in the distribution of tangible dividends, it tells poorly of our nationhood. Bad roads must be fixed, and they must be fixed now, with fairness as the guiding standard.
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