A fuel pump (stock photo).

…PPMC hikes depot price from N138.62 to N151.56,

…IPMAN orders members to sell at N162 per litre

…PDP rejects new price

…Reps ask PPMC to halt price hike

…I warned, Fayose speaks on new petrol price

…Nigerians must resist it – JAF

…SERAP, CACOL call for immediate reversal

…Reverse hike in 48 hours — NANS

…It’s insensitive – ASUU

…CSOs reject new price

…APC defends fuel price hike, says product now available nationwide

…Looming recession’ll be severe — NACCIMA

By Henry Umoru, Olasunkami Akoni, Yinka Kolawole, Victor Young, Omeiza Ajayi, Adesina Wahab, Gabriel Ewepu, Brisibe Perez, Dirisu Yakubu,  James Ogunnaike & Tordue Salem

The polity was seized with anger and trepidation yesterday, following increase in ex-depot price of petrol from N138.62 to N151.56 per litre by the Pipelines & Products Marketing Company, PPMC.

The rage, which came from such stakeholders as Peoples Democratic Party, PDP, minority caucus of the House of Representatives, Academic Staff Union of Universities, ASUU, pro-labour civil society organizations, Joint Action Front, JAF, among others, culminated in calls for government to reverse the price.

This call was further fueled by a directive from the Independent Petroleum Marketers Association of Nigeria, IPMAN, to its members in the South-West to immediately adjust their pumps to sell the product to the public at N162 per litre.

Announcing the new ex-depot price, the PPMC, a subsidiary of the Nigerian National Petroleum Corporation, NNPC, had said in a memo: “Please be informed that a new product price adjustment has been effected on our payment platform.

“To this end, the price of premium motor spirit, PMS, is now one hundred and fifty one naira, fifty six kobo (N151.56) per litre. This is effective September 2, 2020.”

In June, the Petroleum Products Pricing Regulatory Agency, PPPRA, removed the cap on the pricing template for petrol. The price of the product is now governed by market forces.

As soon as the memo was issued, IPMAN directed its members in the South-West to begin sales of the Premium Motor Spirit (PMS) popularly referred to as petrol at N162 per litre.

South-West Zonal chairman of IPMAN, Alhaji ‘Dele Tajudeen, in a telephone chat with journalists in Abeokuta, the Ogun State capital, said his members would be left with no other option than to dispense the product at a price of N162.

Tajudeen said the directive followed increase in the depot loading price of the product by the Federal Government, which placed a new price regime of the product at N151. 56k.

He explained that since the Federal Government has decided to put the price of the product at N151. 56k, IPMAN would have to sell at N162 to be able to cover overhead cost.

Tajudeen said IPMAN members would have to make provision for the cost of diesel to run generators that will power dispensing machines; pay cost of transporting the fuel from the depot to their respective filling stations and also settle statutory levies with the appropriate regulatory agencies.

He said by the time they finished paying all these levies, the cost of discharging fuel at filing stations would have risen to N160, hence dispensing the product at N162 would enable IPMAN members to be able to meet their obligations, including payment of salaries.

PDP demands immediate reversal

These developments, yesterday, provoked the Peoples Democratic Party, PDP, which outrightly rejected the new price.

The party in a statement signed by its spokesman, Kola Ologbondiyan, called for immediate reversal of the prices to “avert a national crisis, as the increase will result in upsurge in costs of goods and services and worsen the biting hardship being faced by Nigerians, already impoverished and overburdened by APC-imposed high cost of living in the last five years.

It noted that “by increasing the price of fuel from the N87 per litre it sold under the PDP to an excruciating N151 while at the same time allowing the hike in electricity tariff from N30.23 per kwh to over N66, the APC has left no one in doubt that its agenda was to inflict pain and hardship on Nigerians to satisfy their selfish interests.

The statement read: “The unjustifiable increase in the price of these essential supplies, coming barely a week after the APC brazenly posted a support for fuel price hike, while attempting to rationalize the excruciating hardship being suffered by Nigerians under the Buhari administration, has further confirmed that the APC is at the centre of the harsh policies of the Buhari Presidency.

“It is distressing that the APC administration increased the cost of essential commodities at a time the leadership of other countries are offering palliatives to their citizens to cushion the effect of the COVID-19 pandemic. It is instructive to add that our nation is doomed under the APC watch.

“We know that the APC is an unfeeling party but it is indeed shocking that it could go to the extent of approving such a hike at this trying time, when many Nigerians are struggling to afford staple foods and other necessities of life.

“Our party challenges the APC and the Buhari administration to publish the parameters with which it arrived at the increase of fuel price to N151 per liter given that with the prevailing values in the international market, the appropriate price template for domestic pump price in Nigeria ought not to be above N100 per litre.’

“Our party further challenges the APC-led federal government to publish details of its sleazy and over-bloated oil subsidy regime, including the involvement of APC interests in the claimed under-recovery for unnamed West African countries, running into trillions of naira, while Nigerians are made to bear the burden of high fuel costs.

“Moreover, the APC and its government have failed to allow an open investigation into allegations of fuel price overcharge as well as the fraudulent subsidy regime through which over N14 trillion had allegedly been frittered by unscrupulous individuals in the APC.

“Our fear is that the APC is pushing Nigerians to the wall with its obnoxious and anti-people proclivities and we caution that nobody should misinterpret the peaceful and law-abiding nature of Nigerians as a sign of weakness.”

It further called on the National Assembly to swing into action and save Nigeria and Nigerians before the nation is “plunge into chaos.”

Minority Caucus rejects hike

Also reacting, the Minority Caucus in the House of Representatives rejected the increase in pump price of fuel, demanding a stay of implementation.

The lawmakers, in a statement by Minority Leader of the House of Representatives, Ndudi Elumelu,  described the announced increase as “unacceptable as it will result in increase in the already high cost of consumer goods and services, and worsen the current economic hardship being suffered by Nigerians.”

Elumelu said: “The Minority Caucus in the House of Representatives rejects the announced increase in the pump price of fuel.

“This is because such increase will directly result in more hardship on our citizens, particularly at this critical time when majority of Nigerians across the country are struggling to survive under the burden of high cost of living and low purchasing power occasioned by the prevailing economic challenges.

“Any increase in the cost of essential commodity like fuel will therefore bring more hardship to the people and as such should not be contemplated.”

The caucus challenged the All Progressives Congress, APC, government, “to rather come up with strategies that will lead to decrease rather than increase in the cost of domestic fuel, including revamping our nation’s refineries, instead of always resorting to price increase, to the detriment of Nigerians.”

The minority caucus directed the PPMC to immediately rescind its announcement and revert to the former price, with a view of a downward review.

I warned Nigerians, says Fayose

In his reaction, former governor of Ekiti State, Ayo Fayose, recalled that he warned Nigerians on the expectations of having President Muhammadu Buhari as president during the countdown to the 2015 presidential polls.

Fayose in a statement on his twitter handle, @GovAyoFayose, also questioned the position of members of the Save Nigeria group who protested against the fuel price increase during the administration of former President Goodluck Jonathan in 2012.

The former governor, who also queried the rationale for the increase, wondered the justification for the increase, despite the prevailing drop in world oil price.

He said: “Petrol is now N151.56. The increment was made when other countries are adopting measures to reduce the effects of COVID-19 lock down on their citizens.

“Just in case those who led the Save Nigeria protests across Nigeria during PDP government of Jonathan are not aware, I warned.”

CSOs urge Nigerians to resist hike

Similarly, the pro-labour civil society organizations, Joint Action Front, JAF, urged Nigerians to rise  against International Monetary Fund, IMF and World Bank imposed socio-economic policies, including the market of price petroleum products.

Speaking through its Chairman and Secretary, Dr Dipo Fashina and Abiodun Aremu, respectively, JAF said: “We cannot as a movement be indifferent to the neo-liberal policies of deregulation and privatisation and are at the same time at home with a regime that is anchored on International Monetary Fund, IMF and World Bank economic direction and be expected to put up any serious resistance against hike in fuel prices.

“Neo-liberalism is an all pervasive instrument — economically and politically – against the interest of the working class and oppressed poor masses.

“We have no option than to vigorously fight it but failure in our part in doing so in the past five years, with the last attempt being May 2016, already emboldened the ruling regime in its continuous imposition of unjust policies and hardships on the people.

“It is either an organized fight, led by Labour or an unorganized fight would spontaneously break out at some points when the living conditions become extremely unbearable.”

Also reacting yesterday, the Socio-Economic Rights and Accountability Project, SERAP, Deputy Director, Kolawole Oluwadare, said:  “We urge President Muhammadu Buhari to immediately take steps to reverse the increase in fuel retail price and electricity tariff.

“Increasing fuel price and electricity tarriff in the middle of a COVID-19 pandemic is unfair and a grave violation of human rights of the poor majority who will bear the brunt of this ill-advised economic policy.

“We urge the National Assembly leadership to move swiftly to stop this travesty, and side with the country’s poorest.”

On his part, Executive Chairman of Centre for Anti-corruption and Open Leadership, CACOL, Mr. Debo Adeniran, also condemned the hike, describing it as “insensitive and callous in a period an average Nigerian daily earnings is supposed to benefit the masses.

READ ALSO: Petrol to sell at N117 per litre, as PPMC slashes ex-depot prices

“The recent stability in electricity in the country should be used to compensate Nigerians for several decades of exploitation when we pay for electricity not consumed.

“The increment is unwarranted, disservice, unfair to the masses by the shylock authorities and those in charge of essential services in Nigeria. Mr. President must look into this and immediately reverse it.”

Reverse hike in 48 hours — NANS

Also, the National Association of Nigerian Students, NANS, yesterday gave the Federal Government 48 hours to reverse the hike in the pump price of petrol, saying Nigerians were already impoverished by the adverse economic policies being implemented.

The student body, in a statement signed by the South-West Zonal Coordinator, Comrade Kappo Samuel Olawale, and Comrade Nurudeen Olatunji, the Public Relations Officer, said it appeared the FG was no longer ready to reciprocate the goodwill it enjoyed that made Nigerians vote it into office in 2015.

“Nigerian students believed in the ideology and the well-presented manifesto of the APC-led Federal Government when seeking the mandate being enjoyed. Shockingly, going by the retrogressive policies of the APC-led federal government, our interest in this government is beginning to wane.

“We think trust should be reciprocal. You should compensate Nigerians based on the delivery of manifesto which we voted for. It’s fast becoming a criminal decorum to remain reticent in the face of these constant bad policies.

“These policies are not masses friendly. Nigerians are sweating profusely before food can be seen on their tables. There’s no dissenting opinion about the fact that   the ravaging coronavirus has wreaked a lot of havoc. Economy is dwindling, many Nigerians have lost their jobs, many breadwinners have kicked the bucket and so on.

“As we speak, electricity tariff is about N5,000 for 80 units, depending on your choice of subscription. Petrol is now N162 per litre, contrary to N87 per litre that Nigerians were used to. On this note, we urge President Muhammadu Buhari and APC bigwigs to quickly intervene and bring the needed succour before it would be too late.

“If there’s no remedy, we shall not hesitate to storm the streets with our arsenals and demand our rights through a very massive protest.”

Hike, manifestation of recklessness — ASUU

In a similar vein, the Academic Staff Union of Universities, ASUU, described the new price regime as a manifestation of the recklessness of the Buhari regime and its insensitivity to the plight of Nigerians.

The National President of the union, Prof. Biodun Ogunyemi, in a chat with our correspondent, said rather than making life bearable for Nigerians, the government was worsening it.

“It is the peak of insensitivity   and it means the government is not bothered about the plight of the masses. People are just trying to find their rhythm after the COVID-19 lockdown. Many people have lost their jobs, those working are yet to stabilise financially and this is coming.

“In some nations, the palliatives given to the people are still being given because people have to adapt to the new normal.

“The minimal increase and relief they gave workers through the minimum wage have been eroded by hyper-inflation and the devaluation of the Naira. The government should buckle up and think on how to restore the dignity of the average Nigerian. Policies like this one will only increase crime rate and no one is safe until everybody is safe,” he said.

Wicked decision — CISLAC

In a similar reaction, Executive Director, Civil Society Legislative Advocacy Centre, CISLAC, Auwal Ibrahim Rafsanjani, said: “The decision is wicked. This is not the right time to increase petrol pump price because it will lead to high prices of goods and services.

“The government should stop this price increase immediately and be sensitive to the plight of Nigerians. They are to be considerate and not to overburden the people with unnecessary increase of pump price.

“Countries are working hard to reduce suffering of their citizens with infrastructure and palliatives while our government is not looking in that direction. This is seriously unfair and unacceptable.”

Social crusader and Founder, One Love Foundation, Chief Patrick Eholor, said: “It’s a shame to think of it. Responsible countries with responsible parliaments, presidents are currently writing off loans, students’ loans, helping and supporting their citizens with palliative measures, and the reverse is the case in Nigeria.

“This should have been another challenge for the Nigeria Labour Congress, NLC, but unfortunately, the NLC after the era of late Imodu, there has never been any true representation. It is a shame. I also think that the citizens have to wake up because in a society where citizens are afraid of their government, then a tyrant is in power. This is what we are facing.”

It’s disappointing — YIAGA Africa

The Executive Director, YIAGA Africa, Samson Itodo, said: “Clearly, this order by the government to increase prices of petroleum and electricity is unfortunate and disappointing. It’s indicative of a government that cares less about the welfare of its people.

“This anti-welfarist policy should be rejected. When will government subsidize for its people? Nigerians are still grappling with the harsh impact of the Coronavirus pandemic and is imposing increased tariff?

“If government cuts down its expenditure, abolish security votes and block leakages in the system it can generate    a great amount of the resources required to fund our development. The people must not always pay.”

It’s unacceptable — Deji Adeyanju

Convener, Concerned Nigerians, Deji Adeyanju, said: “When petrol was N84, people were jumping up and down protesting against Jonathan, and everybody is silent now. Secretly people were going to filling stations buying fuel. What kind of  hypocrisy is this?

“Where are the so-called civil societies in the country? We are almost dead. People are wining and dining with the government, and the few persons that speak up, the government gets and sponsors people to attack them.

“So, the Buhari government is the number one enemy of Nigeria. Nigerians must rise up, hit the streets because when citizens fail of their responsibilities as citizens, then government will also fail.

“There is already a failure on the part of the citizens and that is why this government believes it can do anything without recourse to the Nigerian people. The same Buhari was asking who was subsidizing who?

“They opposed the increase in fuel price, and are doing the thing. It is completely unacceptable. It is anti-Nigerian people. This government is hell-bent in suffering Nigerians and suffocating breath out of Nigerians.

“So, I condemn it in its entirety. I call on Nigerians to fill the streets. That is the only way government will realize that the decision they are making is unpopular.”

APC defends petrol price hike

However, the ruling All Progressives Congress, APC, defended the new hike in the price of petrol, saying unlike what obtained under the Peoples Democratic Party PDP subsidy regime, Nigerians no longer have to endure tortuous queues to buy fuel.

The party in a statement by its Deputy National Publicity Secretary, Mr Yekini Nabena, yesterday, said:

“The attention of the All Progressives Congress,  APC, has been drawn to a shameless statement by the Peoples Democratic Party PDP on the current petrol price and electricity tariff in the country.

“For successive PDP governments that foisted on the country a corruption-tainted fuel subsidy regime, we call on the PDP to surprise itself and indeed Nigerians by cajoling its cronies who ran the subsidy rackets — many of them in hiding abroad — to return our stolen commonwealth in their possession.

“Under the President Muhammadu Buhari administration, the tortuous fuel queues as a result of biting scarcities are gone. The reviewed petroleum products pricing template has resulted in a more transparent, efficient and realistic pricing system for petroleum products and also resulted in constant availability of fuel nationwide.

“The pricing template now reflects competitive and market driven components which is supported by the citizenry.”

Buhari’s regime on vengeance mission against Nigerians — NCFront

A new citizens’ movement, the National Consultative Front, NCFront has lampooned the President Muhammadu Buhari led government over the announced hike  in the price of petrol.

In a statement signed yesterday by Head, Public Affairs Bureau, the NCFront said: “Being a grassroot mass movement, we have observed the melancholic mood of Nigerians following reports that the PPMC, a subsidiary of the NNPC, on Tuesday increased the ex-depot price of PMS from N138.62 per litre to N151.56 per litre.

“We utterly regret that the administration is carrying on as if its sole aim of seeking and acquiring another term of political power is to punish Nigerians for a supposed grouse that has remained unclear. Else, there’s no other reason as to why a government would so prey on hapless citizens still battling with untold hardship foisted by COVID-19 lock-down. However, it is now up to Nigerians to join hands with NCFront Leaders of conscience in emancipating themselves from a ruling class that can neither guarantee their security nor care about their welfare.

“Some of the litany of woes visited on Nigerian citizens by the Buhari Government range from the serial increase in petroleum products since it came into power, jacking   up of the Value Added Tax (VAT), introduction of stamp duties in all banking transactions, and the obnoxious, callous and unconscionable recent introduction of tax on all Tenancy and Lease Agreements.

“Nigerians, if nothing is done can expect more vindictive economic policies tailored towards ensuring that the citizenry is pauperised into docility and submission to the administration’s full-blown dictatorial proclivities.

“Given that the pay of Nigerian workers can barely take them home, it is wicked for those in authority to feed from the little they depend on for their survival as it is criminal to tamper with their rights under whatsoever guise. Therefore, if it is about reducing overhead cost, governors must leave workers salary alone and rather focus on their security votes and other funds being wasted on their coterie of do-nothing appointees.”

Fuel, electricity tariff hike will worsen looming recession — NACCIMA

The Nigerian Association of Chambers of Commerce, Industry, Mines, and Agriculture (NACCIMA) in its reaction has also condemned the increase in the fuel pump price as well as hike in electricity tariff, noting that it will aggravate the severity of the looming economic recession in the country.

Reacting to the development in a chat with Vanguard yesterday, Director General, NACCIMA, Amb.  Ayo Olukanni, stated: “It is with some trepidation that NACCIMA notes the implementation of two policy decisions in the space of a week, that are set to negatively impact the consumption and productive capacity of Nigerians amidst the prospect of the worst economic recession in 40 years, according to the World Bank.

“It is the position of NACCIMA that the decision of the Federal Government to increase the price of petrol through product price adjustment by the Pipelines and Products Marketing Company (PPMC); to commence the implementation of Cost Reflective Tariffs for pricing the cost of electricity; as well as, numerous policies implemented across the federal and state levels of government to bolster revenues, will serve only to increase the severity and duration of the looming economic recession. We reiterate our counsel that government at all levels resist the urge to tax or place an economic burden on the citizenry but adopt policies that stimulate economic activity by creating a regulatory environment that encourages citizens take up productive activities in larger numbers.

“As we project a state of economic recession by the end of the year 2020, we counsel a shift in focus from lump-sum taxation (or any economic policy with a similar effect) to consumption taxes, as this will allow for the appropriate environment for a quick recovery from economic recession.”

We can’t guarantee industrial peace, NLC warns

The Nigeria Labour Congress, NLC, also yesterday rejected the new increase in price of petrol, warning that organized labour might not be able to guarantee industrial peace over the development.

President of NLC, Ayuba Wabba, said:  “In fact, Nigerians and even NLC are in shock and this increase is coming at a time many Nigerians are passing through very peculiar and precarious times.

‘’It’s like Nigerians are being taken for a ride, the increase in price of petroleum is like adding salt to injury.  It has happened now more than three times in three months.  Only yesterday, (Tuesday), they hiked electricity tariff . And to compound it, they also reduced the interest rate on savings which affects mostly the poor and the vulnerable.

“While rejecting this with the strongest terms, I think Nigerian government is taking Nigerians for granted.  At the end of the day, Nigerians are becoming poorer and poorer.  In fact, many people are already on the edge.

‘’We cannot guarantee industrial peace and harmony, and we will have to call our organs; we reject it in its entirety.  They have betrayed the trust of Nigerians.’’

Vanguard