A Review of the Nigerian Energy Industry

Mixed reactions greet govt’s fuel price reduction

19 January 2015, Lagos – In Bayelsa State, mixed reactions have greeted the Federal Government’s reduction of pump price of Premium Motor Spirit (petrol) from N97 to N87.

Mrs. Diezani-Alison-Madueke, Petroleum Minister

Just as some Bayelsans say the reduction was politically motivated given the timing, others said it was a step in the right direction.

Reacting to the reduction, an activist and State Coordinator, Environmental Right Action, Mr. Alagoa Morris, said the Federal Government by acting without the agitations of Nigerians was a welcome development.

He, however, ruled out politics as the the driving force of the reduction, saying it was a response to global slump in prices of petroleum products.

Morris said inasmuch as the development was good, the N10 difference was too minute to impact positively on the populace.

He said, “The reduction is a simple, elementary economic principle. It is a development that will affect all the products too, not just petrol.

“It is not political in my reckoning. That is why I am saying that it should be reduced to at least N70. Let us not politicise everything in Nigeria.”

But a public affair analyst, Mr. James Omojafe, condemned the action of the government, saying it was premature and unnecessary.

James said the Federal Government was simply jittery and carried out the reduction on the prompting of the opposition.

He said, “The Federal Government should have announced to Nigerians that there will be no more subsidy given the reduction in price.

“The timing is wrong because it does not add value to the people. Instead, it is a political move in the long run.”

A motorist, who identified himself simply as Perekeme, said the development was a welcome one.

Perekeme, who said the timing made it to seem political, urged the government to further slash the price to cushion the effect of austerity measures announced by the government recently.

A visit to some filling stations at Yenagoa metropolis on Monday revealed that apart from the NNPC mega filling stations, other filling stations in the metropolis were selling above N100.

At a petrol station on Swali Road, Yenagoa, fuel was still being sold for N105 per litre.

– The Punch

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