Data obtained from the National Bureau of Statistics
revealed that the average retail price of petrol in October was N630.63,
indicating a 164.8 percent increase from N238.11 in May.
According to the latest Premium Motor Spirit Price Watch
report, this development is an indication of a 222.92 percent increase when
compared to the N195.29 recorded in October 2022.
“Likewise, comparing the average price value with the
previous month (.i.e. September 2023), the average retail price increased by
0.71 percent from N626.21,” the report said.
Prior to the subsidy removal, petrol prices were
artificially kept low by government intervention. However, the government
argued that the subsidy was unsustainable and that a market-driven approach
would be more efficient.
While the decision to eliminate subsidies was met with
criticism from some quarters, the government maintained that it was necessary
to ensure the long-term viability of the fuel industry.
The federal government said the country has recorded
significant strides in salvaging the state of the economy since the reform.
“The Federation Account is witnessing improved revenue
inflow since the removal of fuel subsidy from an average of N650 billion
monthly to over N1 trillion in the last four months,” said Wale Edun, minister
of finance and coordinating minister of the economy.
At the opening ceremony of a two-day retreat for the Federal
Account Allocation Committee on Monday, Edun said the economic reforms the
administration has embarked on since its inception in May clearly outlined the
right steps to the transformation of the country’s economy.
He said that the government is not oblivious to the untold
hardships faced by Nigerians following the removal of petroleum subsidy and
harmonisation of the exchange rate, affirming that “all the sacrifices will not
be in vain as the government is bent on ensuring that the economy bounces back
to normal as we continue to consolidate the recovery efforts on achieving
inclusive economic growth and development”.
In addition, the government has acknowledged the challenges
posed by the rising petrol prices and has taken steps to mitigate the impact.
These measures include providing financial assistance to vulnerable households
and implementing policies to promote the use of alternative fuels.
Meanwhile, Zamfara State had the highest average retail
price for the product at N659.38; Gombe and Borno states were next with N658.33
and N657.27, respectively.
According to the report, Lagos, Oyo and Delta states had the
lowest average retail prices for petrol, at N590.95, N592.19 and N599.38
respectively.
0 comments:
Post a Comment