Before this piece was written, I had previously subscribed in error to government's position on deregulation. I was of the view that to avoid subsidy (a government responsibility), refineries should be built (a task the govt refused). I was misled to believe that there was subsidy and that it arose because we do not refine enough to meet local demand. I have since found otherwise from authoritative experts who know and have have challenged our president to debates.
“The government claims we are currently operating our refineries at 38.2% efficiency. When we refine a barrel of crude oil, we get more than just petrol. If we refine 1 barrel (42 gallons) of crude oil, we will get 45 gallons of petroleum products. The 45 gallons of petroleum products consist of 4 gallons of LPG, 19.5 gallons of Gasoline, 10 gallons of Diesel, 4 gallons of Jet Fuel/Kerosene, 2.5 gallons of Fuel Oil and 5 gallons of Bottoms. Thus, at 38.2% of refining capacity, we have about 170000 bbls of throughput refined for about 13.26 million litres of petrol, 6.8 million litres of diesel and 2.72 million litres of kerosene/jet fuel.” That is the submission of Professor Izilien Agbon former Department Head of Petroleum University of Ibadan.
Before now, the economic minister told us and we, especially I believed that refining crude results in only one product if you target that only product. Thus they told us that one barrel refined results in 158 litres of fuel. This was a scientific lie meant to deceive the majority. The government also went ahead to fabricate more fiction than Robert Ludlum could have imagined in the name of subsidy. However, experts like U.S. based Prof. Izilien Agbon should know and after a little research, I conclude without doubt that the government is fraudulently intent on remaining corrupt to the detriment of Nigerians.
Another expert, who has challenged the intellectual misfits currently occupying the corridors of power because Nigerians chose to make a mistake in April last year to a televised debate on our oil situation is Tam David West. The former oil minister asserts that Nigeria is already paying too much per litre of fuel compared to other crude oil producing countries.
“They have been telling us that our fuel costs less than that of other oil producing nations. But it is all lies. The current price in Iran is N58.40 per litre; Kuwait N30.16; Qatar N32.12; Saudi Arabia N17.50; UAE N54.02; Venezuela N5.84; Libya N15.95; Egypt N46.17; Malaysia N73; Bahrain N39.42; U.S. N108.04; and Indonesia N81.14. With the exception of Malaysia, the other countries where fuel is more expensive than Nigeria’s are not oil-producing countries. Aret Adams, former GMD of the NNPC, in a paper he delivered at the NIIA on July 28, 1997, (entitled: Managing Nigeria’s Oil Resources), said ‘I believe that if quality petroleum products are imported into this country, without the need to pay outrageous commissions, the pump price would be under N20 per litre.”
If these experts disagree with government and challenge them to open air debates and the government refuses to attend, it is quite simple to conclude that there is truly a cover up determined to exploit the people. A government should be mighty against the strong and mighty to protect the weak from the strong. We do not want a government that is weak against the mighty and mighty against the weak. This argument about a weak government arises because government’s excuse is that there are a few whom they refer to as the ‘cabal’ who exploit the system against the government. The PDP controlled government does not intend to discover, prosecute and disperse them but expects the people to pay so much for petroleum products.
Under the Obasanjo regime, the “subsidy figure” stood at N300billion a year. Just last year the figure climbed faster than anyone could anticipate to over a trillion Naira. Those who say Jonathan is right should not be condemned. They should answer the simple question: what is the difference between a commodity and a service? The deregulated telecoms sector advantage cannot ever be the same as an OPEC dictated price of crude that we’ll pay for in the post deregulation era.
Some ‘anti-subsidy’ protagonists argue that the question should really be: can we trust the government with the subsidy savings? I have another question for them: why should you threaten to slap me on the ground that you’ll send some people to buy me rob?
It is unfair and unjust for the government to expect a people living on less than two dollars a day to pay more for a product they need to survive daily. It is even more demeaning when the leader of that government is insensitive to introduce such a regime that leaves the people at the mercy of the importers. While the new unjust prices remain, we must continue to mobilize to occupy Nigeria.
Governments do not survive on falsehoods. There is no subsidy on petroleum products with the price at N65/litre. Those who disagree should take the expert, David Tam West on a debate. Nigerians cannot afford the new price regime today or tomorrow. Government must revert and be true.
“The government claims we are currently operating our refineries at 38.2% efficiency. When we refine a barrel of crude oil, we get more than just petrol. If we refine 1 barrel (42 gallons) of crude oil, we will get 45 gallons of petroleum products. The 45 gallons of petroleum products consist of 4 gallons of LPG, 19.5 gallons of Gasoline, 10 gallons of Diesel, 4 gallons of Jet Fuel/Kerosene, 2.5 gallons of Fuel Oil and 5 gallons of Bottoms. Thus, at 38.2% of refining capacity, we have about 170000 bbls of throughput refined for about 13.26 million litres of petrol, 6.8 million litres of diesel and 2.72 million litres of kerosene/jet fuel.” That is the submission of Professor Izilien Agbon former Department Head of Petroleum University of Ibadan.
Before now, the economic minister told us and we, especially I believed that refining crude results in only one product if you target that only product. Thus they told us that one barrel refined results in 158 litres of fuel. This was a scientific lie meant to deceive the majority. The government also went ahead to fabricate more fiction than Robert Ludlum could have imagined in the name of subsidy. However, experts like U.S. based Prof. Izilien Agbon should know and after a little research, I conclude without doubt that the government is fraudulently intent on remaining corrupt to the detriment of Nigerians.
Another expert, who has challenged the intellectual misfits currently occupying the corridors of power because Nigerians chose to make a mistake in April last year to a televised debate on our oil situation is Tam David West. The former oil minister asserts that Nigeria is already paying too much per litre of fuel compared to other crude oil producing countries.
“They have been telling us that our fuel costs less than that of other oil producing nations. But it is all lies. The current price in Iran is N58.40 per litre; Kuwait N30.16; Qatar N32.12; Saudi Arabia N17.50; UAE N54.02; Venezuela N5.84; Libya N15.95; Egypt N46.17; Malaysia N73; Bahrain N39.42; U.S. N108.04; and Indonesia N81.14. With the exception of Malaysia, the other countries where fuel is more expensive than Nigeria’s are not oil-producing countries. Aret Adams, former GMD of the NNPC, in a paper he delivered at the NIIA on July 28, 1997, (entitled: Managing Nigeria’s Oil Resources), said ‘I believe that if quality petroleum products are imported into this country, without the need to pay outrageous commissions, the pump price would be under N20 per litre.”
If these experts disagree with government and challenge them to open air debates and the government refuses to attend, it is quite simple to conclude that there is truly a cover up determined to exploit the people. A government should be mighty against the strong and mighty to protect the weak from the strong. We do not want a government that is weak against the mighty and mighty against the weak. This argument about a weak government arises because government’s excuse is that there are a few whom they refer to as the ‘cabal’ who exploit the system against the government. The PDP controlled government does not intend to discover, prosecute and disperse them but expects the people to pay so much for petroleum products.
Under the Obasanjo regime, the “subsidy figure” stood at N300billion a year. Just last year the figure climbed faster than anyone could anticipate to over a trillion Naira. Those who say Jonathan is right should not be condemned. They should answer the simple question: what is the difference between a commodity and a service? The deregulated telecoms sector advantage cannot ever be the same as an OPEC dictated price of crude that we’ll pay for in the post deregulation era.
Some ‘anti-subsidy’ protagonists argue that the question should really be: can we trust the government with the subsidy savings? I have another question for them: why should you threaten to slap me on the ground that you’ll send some people to buy me rob?
It is unfair and unjust for the government to expect a people living on less than two dollars a day to pay more for a product they need to survive daily. It is even more demeaning when the leader of that government is insensitive to introduce such a regime that leaves the people at the mercy of the importers. While the new unjust prices remain, we must continue to mobilize to occupy Nigeria.
Governments do not survive on falsehoods. There is no subsidy on petroleum products with the price at N65/litre. Those who disagree should take the expert, David Tam West on a debate. Nigerians cannot afford the new price regime today or tomorrow. Government must revert and be true.
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When shall we realize that the government can never save us. We have the solution in our hands, yet we fail to use it even though people who have been prophesying about times time like are from within us and we fail to listen to them.
THERE IS A SOLUTION TO OIL CRISIS AROUND THE GLOBE, AND IN NIGERIA www.setnaijafree.goxft.com