He promised to build four refinaries when elected and gave the country NNPC Logo after 7.6years



The highest scam of all time.

Well, GEJ promised 3 refinereis too...and nothing happened.

(Calm down, I'm not doing GEJ vs Buhari).

The simple reason why both GEJ and Buhari cannot build refineries is simple...fuel subsidy.

Subsidy means you sell fuel below the cost of producting it...meaning NNPC cannot earn enough profit to fix and upgrade refineries, and build new ones. Also, no investor would come and invest in new refineries...since producing petrol means losses...a lot of losses.

If you noticed...both GEJ and Bubu, and many Nigerian leaders since the 1980's have tried to completely remove subsides on petrol...and each time there was opposition to the move....because Nigerians want cheap fuel...more than wanting NNPC to run profitably enough to sustain refineries.


Ghana has 2 domestic refineries...and fuel cost N608 per liter on average. Niger has one refinery, and fuel costs N350-400 per liter. Run a refinery at a profit, and you earn enough to keep it running well.

But most people here do not want subsidy gone. Because...

Subsidywise20:
Well, GEJ promised 3 refinereis too...and nothing happened.

(Calm down, I'm not doing GEJ vs Buhari).

The simple reason why both GEJ and Buhari cannot build refineries is simple...fuel subsidy.

Subsidy means you sell fuel below the cost of producting it...meaning NNPC cannot earn enough profit to fix and upgrade refineries, and build new ones. Also, no investor would come and invest in new refineries...since producing petrol means losses...a lot of losses.

If you noticed...both GEJ and Bubu, and many Nigerian leaders since the 1980's have tried to completely remove subsides on petrol...and each time there was opposition to the move....because Nigerians want cheap fuel...more than wanting NNPC to run profitably enough to sustain refineries.


Ghana has 2 domestic refineries...and fuel cost N608 per liter on average. Niger has one refinery, and fuel costs N350-400 per liter. Run a refinery at a profit, and you earn enough to keep it running well.

But most people here do not want subsidy gone. Because...

Removing it and price going up is not really an issue.. The issue will be cost of living, how are we going to cope? The only way Nigerians and oppositions will not be mad over it is when standard of living is improved and use of petrol is reduced by provision of adequate electricity supply...

You don't just remove it... There are things we should work on first before taking such steps..

4teenblaq:


Removing it and price going up is not really an issue.. The issue will be cost of living, how are we going to cope? The only way Nigerians and oppositions will not be mad over it is when standard of living is improved and use of petrol is reduced by provision of adequate electricity supply...

You don't just remove it... There are things we should work on first before taking such steps..

That's where how we use the savings from subsidy removal comes in...plus how government takes advantage of the profits from subsidy removal in the coming years...by taxing it.

I get where you are coming from...however, to pay for keeping fuel below N200 a liter is costing our budget nearly 6 trillion naira already...and thus we may end up borrowing to fill the resulting deficit.

Subsidywise20:


That's where how we use the savings from subsidy removal comes in...plus how government takes advantage of the profits from subsidy removal in the coming years...by taxing it.

I get where you are coming from...however, to pay for keeping fuel below N200 a liter is costing our budget nearly 6 trillion naira already...and thus we may end up borrowing to fill the resulting deficit.

Alright, we hope the next administration coming will take this into consideration and work on it.