We woke up this morning to gleeful sharing of report by Daily Trust of fuel price per litre in Libya which stands at $0.032 or ₦52 per liter by some malevolent Nigerians. In Africa today, only four countries sell fuel cheaper than Nigeria. The countries are: Libya $0.032, Egypt $0.279, Algeria $0.342 and Angola $0.351. Apart from these four countries, Nigeria sells the cheapest fuel in Africa. If we examine the four countries which fuel is cheaper than Nigeria’s fuel, there are noticeable differences in their prices too. Libya has the cheapest among the lot while the difference between Libya’s fuel price and the other three countries are wide. Why is this so?
Fuel price per litre in Nigeria is between $0.62 and $0.67 compared to other African countries like Senegal $1.646, Morocco $1.527, Uganda $1.475, Kenya $1.453, Zimbabwe $1.590, Cote d’ Ivoire $1.455, Sierra Leone $1.448 and Malawi $1.458. We are not even talking about fuel prices in Europe, America, and Asia where fuel prices are highest. When we attempt to say that fuel price in Nigeria is cheaper than fuel prices in US, Europe and Asia, the naysayers would attack that Nigeria does not have other conducive indices of economic growth that those countries have. I ask now, what conducive indices of economic growth do Kenya, South Africa, Senegal, Morocco, Uganda and others have that their fuel prices are higher than Nigeria’s? Comparing prices of fuel should be all encompassing to reflect balance and objectivity. It reeks of malevolence when people share prices of fuel where they are cheaper than Nigeria’s and leave out prices of fuel where they are higher than Nigeria’s. It questions our touted sincerity of criticisms of the Federal Government of Nigeria.
There are factors which peg fuel prices in each country. In the case of Libya, Algeria, Angola and Egypt, higher oil reserves, subsidies and lower population and the high value of their currencies inform their cheap fuel prices. These countries are not known to import fuel and they are not awash with the monumental corruption that characterised our oil sector in Nigeria. In other African countries where fuel prices are higher, many of them import fuel and some rely on fuel from Nigeria. In the case of Nigeria, but for the removal of subsidy, caused by corrupt propensity of fuel importers and dealers, and the alleged underhand practices of the NNPCL, Nigeria’s fuel price was cheaper then, and after removal of subsidy, it is still cheap. Apart from the expected stability and reduced fuel price that the deregulation in the oil sector will bring, what gives more solid assurance of stability and price reduction is the rapid and sustained depreciation of dollar against the naira. Is the Federal Government making efforts toward this direction? YES! Increased supply of crude oil to 2 million barrels per day (1.6 million at present) which will ensure more foreign exchange earnings, increased foreign reserve (over $37 Billion now), balance of trade surplus with net export over net import and other macro economic reforms ongoing will strengthen naira to a sustainable level.
A point that these mischievous individuals sharing Libya fuel price is missing is that while they gleefully share cheaper fuel price in Libya to debase Nigeria, citizens in South Africa, Kenya and others where fuel prices are higher are not sharing Nigeria’s cheaper fuel price to cast aspersions on their governments. That’s patriotism! That’s wishing good for one’s country. As hard as things are in Nigeria, our country needs our sympathy, empathy and belief that things will get good, and get better.
Maroof Asudemade, an Editorial Consultant and Book Publisher, writes from Ibadan.
