Editorial
That Cut In Fuel Price
Recently, the Minister of Petroleum Re
sources, Mrs Diezani Alison-Madueke,
took Nigerians by storm when she announced a marginal reduction in the pump price of Premium Motor Spirit (PMS), otherwise called petrol from the official price of N97 to N87 per litre. While making the announcement, the minister said that the new price regime takes immediate effect, and directed all filling stations across the country to comply by adjusting their pumps in line with the present reality, just as she charged all regulatory agencies, especially the Department of Petroleum Resources (DPR), the Petroleum Products Pricing and Regulatory Agency (PPPRA), and other agencies of government to intensify monitoring of petroleum products marketers and filling stations to ensure total compliance with the new order.
However, since the announcement of the reduction in PMS pump price by the Federal Government with effect from January 19, 2015, groups, individuals, and very key stakeholders, have continued to voice divergent views on the motive, and indeed, propriety of the decision.
While some welcome the gesture and rationalise that the government appears to be harkening to the yearnings of majority of Nigerians, particularly given the prevailing economic conditions, others think, and vehemently argue, that the reduction in the pump price of PMS by N10 is not proportionate to the huge fall in the price of crude oil in the international market. In fact, the latter group insist that the fall in the price of crude oil should naturally trigger a reduction in the prices of all derivatives of hydrocarbons, including Automotive Gas and Oils (AGO), Dual Purpose Kerosene (DPK), and Aviation Fuels (Jet A and Jet A1), and not just PMS or gasoline.
The Tide completely agrees with both divides. While we commend the government for responding to the new reality by reducing the pump price of PMS, we however, feel that the action did not meet standard procedure, and was therefore, taken hastily, albeit, to score cheap political points.
Our first worry is the fact that the minister had to make the announcement, instead of the statutory body charged with the responsibility of pegging, regulating and monitoring petroleum products prices – PPPRA. The second concern is the failure of government to extend the price cut to other key derivatives of crude oil, such as DPK, AGO and Aviation Fuels. We believe that a reduction in the price of PMS, without a corresponding cut in the prices of kerosene, diesel and jet oils, may not significantly affect the majority of Nigerians, particularly those in the rural areas and low income earners in urban centres, industries and manufacturers, whose economic contributions oil the wheel of development, as well as some key transporters and commuters.
This is why we join other well-meaning Nigerians to call on the Federal Government to take a holistic review of the intervention measure with a view to further cutting down on the prices of all petroleum products across the board. We also think that the review should be done in such a way that no iota of arbitrariness is allowed to permeate the process.
Even so, The Tide is particularly worried that under a regulated petroleum industry, where government regulates prices in consonance with a complex subsidy regime, a drop in the price of crude oil in the international market, resulting in unanticipated intervention of this nature, is not sustainable. We say so because crude oil prices fluctuate, depending on prevailing circumstances.
For us, the current situation provides an ample opportunity for the Nigerian people to rise up and call for the removal of subsidy on petroleum products, thus, allowing market forces determine the prices of the essential products. Besides, a deregulated downstream sector of the petroleum industry would surely open the floodgate for the take-off and operationalisation of new refineries and petrochemicals facilities to add the much-needed value to the country’s economy.
In addition, a deregulated regime would create millions of new jobs for the teeming population of skilled and semi-skilled manpower, curb, if not stop products importation, as well as eliminate corruption in the industry, thus, saving trillions of Naira frittered away by a band of cabals, among other benefits. We think that this is the right way to go, if the present generation must move Nigeria to the next level.
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Editorial
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.
Editorial
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