“Open Importation to All Depot Owners”: Oil Marketers Tell Federal Government After Fuel Subsidy Removal
- Oil marketers have reacted to the removal of fuel subsidies by President Bola Ahmed Tinubu after assuming office on May 29
- They asked that the federal government should open the importation of fuel to all depots owners in the country
- The oil marketers argued that limiting oil importation to few individuals will result in a semi-monopolistic market
The inaugural speech by President Bola Ahmed Tinubu on Monday, May 29, ushered Nigerians into the era of fuel subsidy removal.
Before May 29, Nigerian have been buying Premium Motor Spirit (PMS) at a subsidised rate.
Source: Facebook
The phrase fuel subsidy removal is not new to Nigerians as previous administrations and past presidents have attempted it.
What this means is that the government will no longer be involved in subsiding fuel just as it did with diesel.
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Legit.ng spoke with some oil marketers about the federal government’s decision.
A Port Harcourt-based based oil marketer, Phronesis Ajieren said business has been dull and many oil depots in the city are dry due to the increase in fuel prices.
He said it has been a challenging time for marketers who are just springing up because of the huge capital needed to buy products.
Ajieren said even before the removal of subsidies some marketers share a truck just to service their filling station. Now that the price has skyrocketed, many businesses have been forced to shut down.
Speaking about importation from July, he said the federal government should make it open for every marketer who wants to import to so.
Ajieren said limiting its fuel importation to a few marketers would make it a semi-monopolistic market.
“The only thing I feel false about now is the limiting the licenses to some individuals only to be importing the fuel.
"They should just make it open to all depot owners. Get registered and you can go and bring in the fuel”
Another oil marketer in the Apapa area of Lagos state, David Jackson shared the same view about the federal government not restricting fuel important to few marketers.
David thinks that the price of fuel will not be monopolized if many marketers are importing the product into the country.
"The problem is that the federal government said it has hand-off from fuel subsidies but still handing over importation to a few persons to monopolise the market. That's what we don't understand.
“Fuel Subsidy Is Gone,” President Tinubu reveals in inaugural address
Meanwhile, Legit.ng had reported that the newly inaugurated Nigerian President, Bola Ahmed Tinubu, has stated that his administration will not continue with payment of fuel subsidies.
Tinubu made this known during his inaugural speech at the Presidential inauguration at Eagles Square, Abuja, on Monday, May 29.
Bola Tinubu: List of past Nigerian Presidents who attempted to remove fuel subsidy
President Bola Ahmed Tinubu on Monday, May 29 during his inaugural speech announced fuel subsidy removal, explaining that “he felt it was expedient to stop the subsidy on the first day”.
Historically, fuel subsidy began in the 1970s and was later institutionalized in 1977 following the promulgation of the Price Control Act, which made it illegal for petrol to be sold above the regulated prices.
Source: Legit.ng
