Minister of State for Petroleum Resources, Dr. Ibe Kachikwu while addressing the Petroleum Products Pricing and Regulatory at a town meeting in Abuja yesterday, said the current fuel scarcity will end today (Wednesday) through Thursday in Abuja and Lagos, while other cities will get the same improvement by weekend.
Here is what he said according to Today.ng is reporting it:
“Today we have the whole fuel queues and it is a complete nightmare for me. It is being a lot of work but the reality is that I hurt more like every Nigerian who is at the filling station, I am very emotional about my job and the things that I do.
“There isn’t sufficient reason why Nigerians should suffer this much, we just need to take the right policies as difficult as it comes, we need to take the right policies to ensure that we do not have this recurrence of fuel scarcity, it’s been with us historically, but I don’t want that to define my legacy in the petroleum industry,” said Kachikwu.
He then said: “Hopefully by tomorrow through Thursday the fuel queues in Abuja should be over, hopefully the same thing will happen to Lagos and thereafter, by the weekend, we should see Kano, Katsina, Sokoto and Port Harcourt and Warri get off this state.”
According to him, the country would have to find a sustainable way to keep her downstream sector working efficiently to avoid recurrent scarcity of products.
He added that such option that privatising the sector provides would be productive without necessarily having prices of products go up.
“What concerns me more is not just getting the present queues out, that will definitely wear out, what concerns me more is how do you avoid having to have that ever again in this country and to do that there are certain things we need to do.
“First is that strategic reserve have not been in this country for over 20 years, we need to bring back strategic reserve that should serve 60 to 90 day type of product hold so that we can respond within a matter of hours when there is shortage in any part of the country.
“Two is that we need to find how to handle allocation of resources, for the first time I have been able to convince the major oil producers to allocate scarce foreign exchange to the downstream players to enable them bring in product.
“But that is not a futuristic long term solution, so we need to find a way of being able to fund this sector to do its work and there is no better way than to steer it to that path of privatisation, let them go do their things, we are going to have to look at that and it is not necessarily synonymous with an increase in price. Hopefully the price modulation that we have put in place will enable us do that,” the minister explained.
Speaking more on the rationale for such long term solution, he said: “But really, in the states, we do not have queues as such, people are paying double the price to get product, and there is no place for that practice, not right but what it says to you is that obviously, there are some statiscal philosophy we need to watch in terms of whether we are pricing our products rightly for people to be able to participate in this chain.”
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