Just In: NNPC Hikes Fuel Price to N897 per Liter: A New Blow to the Nigerian Economy

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Toba Owojaiye reporting

Benin City, Edo State

 

In a shocking development that threatens to deepen the economic woes of millions of Nigerians, the Nigerian National Petroleum Company Limited (NNPCL) has once again raised the pump price of Premium Motor Spirit (PMS), commonly known as petrol. The price has soared from N615 to an unprecedented N897 per liter, marking a significant increase that has sparked widespread concern across the nation.

Truth Live News gathered that, this latest hike, coming just months after a previous increase in May, highlights the growing challenges faced by Nigerians, who are already grappling with the economic impact of the removal of fuel subsidies, fluctuating naira values, and uncertainty surrounding the commencement of operations at the Dangote refinery.

The Road to N897: A History of Increases

The journey to this new price began in May 2023, when the NNPCL first raised the fuel price from N195 to N537 per liter, following President Bola Tinubu’s announcement during his inaugural speech that fuel subsidies would be removed. This decision, which was aimed at reducing government expenditure, immediately triggered a wave of discontent as fuel prices soared by nearly 175%. Just months later, the NNPCL further increased the price to N617 per liter, citing the continued depreciation of the naira and the ongoing delay in bringing the Dangote refinery online.

Now, at N897 per liter, the price of petrol has more than quadrupled since May, leaving many Nigerians struggling to keep up with the rising cost of living. The implications of this increase are far-reaching, with transport costs expected to skyrocket, further driving up the prices of goods and services across the country.

The Human Impact: Masses Bear the Brunt

The NNPC’s decision has not only deepened economic hardship but has also set the stage for potential social unrest. The masses, who are already feeling the pinch of high inflation and unemployment, are now faced with the additional burden of exorbitant fuel prices. The increase is expected to spark fresh protests, as Nigerians, already stretched thin, may take to the streets to voice their frustration and demand immediate government intervention.

Observers fear that the hike could trigger a ripple effect across various sectors of the economy, leading to an even steeper rise in the cost of basic necessities. Transport fares, food prices, and the cost of essential services are likely to surge, compounding the difficulties faced by ordinary Nigerians.

Uncertainty Ahead: A Call for Urgent Solutions

The timing of this price hike could not be worse, as the nation continues to grapple with an uncertain economic future. With the naira in freefall and no clear timeline for the Dangote refinery to commence operations, the outlook remains bleak. Many are now questioning the government’s strategy for managing the nation’s oil resources and the wisdom of removing subsidies without adequate safety nets for the population.

As the situation unfolds, there are calls for the government to urgently address the underlying issues contributing to the continuous rise in fuel prices. Ensuring the timely start-up of the Dangote refinery, stabilizing the naira, and providing relief measures for the most vulnerable are seen as critical steps in averting a full-blown crisis.

In the meantime, Nigerians are left to cope with the immediate consequences of this price hike, as they brace themselves for what could be the most challenging period yet in the nation’s recent history. The need for transparent communication, effective policy measures, and swift action has never been more critical as the country navigates these turbulent times.

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