To the surprise of a large percentage of even the best of analysts, the federal government finally “liberalised” the pricing of petrol on Wednesday. It will now sell for N145 per litre to encourage marketers to resume importation.
This is coming four years after former president Goodluck Jonathan tried the same policy but was vehemently opposed by protesters, leading to the “Occupy Nigeria” rally of January 2012.
Here are the things to expect if the federal government is to follow through with comprehensive reforms.
We certainly expected that pump price would surge after the liberalisation of the market, but we didn’t expect a ceiling of N145, since the Petroleum Products Pricing Regulation Agency (PPPRA) template said only a few days ago, that the actual cost is N99.38 per litre.
However, that seems to be the case. If the official ceiling is N145 per litre, one can imagine how much petrol would be sold by oil marketers. Inflation is inevitable.
Less than three hours after the announcement was made, #OccupyNigeria started trending on Twitter, and may trend in the country over the next few days or weeks – across the country.
Read more: thecable