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Petrol Marketers Lament Ghost Buying At Filling Stations

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With petrol prices soaring above ₦1,000 per litre at most Nigerian filling stations, petrol marketers are facing low patronage and reduced profits.

Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) President Billy Gillis-Harry and Independent Petroleum Marketers Association of Nigeria (IPMAN) spokesman Ukadike Chinedu discussed this issue on the Monday edition of Channels Television’s The Morning Brief breakfast programme.

Marketers are now cutting back on staff and operating hours due to the high cost of fuel and low returns on investment.

Gillis-Harry said, “Marketers, retail outlet owners, all of us in the industry are finding it difficult to cope with the current situation, we used to buy 45,000 litres of fuel a couple of months ago for less than 8.5 million naira but today, we have to cough out about 49 million naira to buy the product.

“Financial institutions are not coming to our rescue. The cost of money is so high, it is so difficult to even sell, what we get to our retail outlets is not quickly bought because Nigerians also have the challenge with their buying power.”

On his part, IPMAN spokesman Ukadike Chinedu said filling stations nationwide have become ghost places as middle-class Nigerians have abandoned their vehicles and embraced public transportation.

“Most of the money we use in investing is bank money. It’s being borrowed and the interest rate is also high. There is no return on investment because the more we sell, the more we make profits,” Chinedu said.

“Now the volume of trade in the filling stations is very low because of the characteristics of the buyers who have now dropped some of their luxury vehicles with V8 and are now using alternative transportation.

“If you check some of the filling stations these days, you will find out that there is skeletal or ghost buying, two, or three cars will just come in and buy. We are no longer talking about scarcity, we are now talking about price differentials.”

The two unions urged President Bola Tinubu to provide ₦100bn as a seed fund for oil marketers to stay afloat, just like the aviation and agricultural sectors.

Nigerians are grappling with the weight of unprecedented food inflation, and energy prices which have quadrupled in the last year under the Tinubu administration.

Specifically, the price per litre of petrol jumped from less than ₦200 to over ₦1,000. Many people have blamed the twin policies of petrol subsidy removal and unification of forex rates for the high living costs that have assailed the middle class.

Citizens have staged two major protests to drive home their grievances against the Tinubu administration and pressured the All Progressives Congress (APC) government to reverse its “reforms” but the current administration has insisted that its policies are necessary and won’t be reversed.

BIG STORY

Federal Government Needs N19tn To Complete 2,604 Ongoing Projects — Works Minister Umahi

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Minister of Works David Umahi has announced that completing the 2,604 ongoing road projects will now require N19 trillion, a significant increase from the initial estimate of N13 trillion.

This surge in costs underscores the mounting challenges in infrastructure development and the urgent need for additional funding.

He said this at a press briefing in Abuja on Monday at the ministry headquarters to update Nigerians on road infrastructure development.

He explained that the cost increased due to the dwindling foreign exchange rate and the price of bitumen.

He explained that despite these issues, the ministry had completed 85 per cent of 330 emergency projects awarded by the government in July 2024.

Umahi also berated the Chairman of the House of Representatives Committee on Federal Roads Maintenance Agency, Remi Oseni, over his comments that the minister had misplaced his priorities on the state of roads across the country.

He said, “The issue of fewer priorities by the House of Rep members was the variation of price, and that was a very terrible programme that was eroding the little resources we put in the budget to do projects.

“Before we came on board, there were these issues of variation of price and foreign exchange differential. Some contractors were claiming them. Essentially, two of them. But that less priority that he talked about was that we stopped them. And we have no regrets about stopping them.

“And let me say to him that the projects Mr. President inherited were a total of 2,604 projects as of May 29, 2023. The total cost was N13tn. That’s what the President inherited. And a debt to contractors of N1.6tn. And when you look at the variation because of the fuel subsidy removal and the floating of the naira against the dollar, if these projects are reviewed, the cost of these projects will increase to N19tn, just to complete the ongoing projects.”

The minister further noted that “Mr President manifested all the projects in the 2024 budget with the hope of giving him time to look for resources, including loans, to do these projects.

“But the truth I want the public to know is that N13tn projects inherited, today it should be over N20tn because, at that time, it was N500 to a dollar. Today the dollar is N1,700. At that time the ton of bitumen was like N600,000 per ton. But today it is N1.2 million per ton. And so you have to understand this. There is a transition before we stabilize.”

Umahi stated that this was why in the 2023 supplementary, the President approved N300bn to take care of several palliatives.

“By next week, we are going to publish what success we have achieved in those N300bn projects. We used it to procure over 330 roads, palliatives, and bridge repairs, which were properly procured and properly executed.

“As of today, we have achieved over 85 per cent completion. And so when we publish it, I want him to go there and verify. And I request that he tenders an all-reserved apology because all he did was to represent the contractors and incite the public against the government that brought him in,” he stated.

The minister added that about 10 projects have been terminated by the current administration as they had been awarded over one and a half decades ago.

According to the works minister, the President should be commended for paying attention to special mega road projects, and there is a priority given to the ministry in terms of the supplementary budget for 2023/2024, while they inherited N1.6tn in debt to contractors.

On the issues of the Federal Emergency Road Maintenance Agency, Umahi maintained that their hands are clean and there is nothing to hide. According to him, some contractors are unhappy with the ministry to the point of wanting the removal of the minister.

He noted, “There is no way you expect some project that lasted up to 20 years to be done in one year. The Chairman said we are awarding projects that we are not ready to execute. And that is where the oversight function comes in. You have the records of what we have awarded.

Regarding the Abuja-Kaduna-Kano dual carriageway projects awarded to Julius Berger Plc, he reiterated that after the expiration of seven days, “we will have no option but to revoke it and award the project to another construction firm to complete it.”

He therefore hinted that the ministry has a total of N600bn in certified jobs for 2024 and N726bn under the NNPC tax credit scheme.

Umahi said the insecurity in the North-West had delayed some of the ongoing projects, with 50 workers kidnapped for ransom by bandits.

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BIG STORY

BREAKING: Osun APC Suspends Former Governor Ogbeni Rauf Aregbesola Over Alleged Anti-Party Activities

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The Osun State Chapter of the All Progressives Congress (APC) has suspended former Minister of Interior, Ogbeni Rauf Aregbesola, citing “alleged anti-party activities.”

In a resolution submitted to the APC National Secretariat and addressed to National Chairman Dr. Umar Ganduje, the Osun APC accused Aregbesola of “creating divisions within the party by establishing a splinter faction.”

The state party chapter claimed that this move has “undermined cohesion and unity,” particularly during a critical period in Osun politics.

The party stated that Aregbesola’s actions have “fueled internal divisions.”

Aregbesola’s camp is yet to respond to the development.

 

More to come…

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BIG STORY

Abia Rep Alex Ikwechegh Apologizes For Assaulting Bolt Driver, Says “I Deeply Regret It”

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Alex Ikwechegh, a member of the House of Representatives, has issued an apology for assaulting Stephen Abuwatseya, a Bolt driver.

The incident, which occurred on October 27 in Abuja’s Maitama district, involved Ikwechegh slapping and verbally abusing the driver. A viral video captured the heated exchange, where Ikwechegh accused the driver of disrespect for requesting he approach the car to collect his package.

The All Progressives Grand Alliance (APGA) lawmaker was subsequently detained by the Federal Capital Territory (FCT) police command for questioning.

In a statement issued on Tuesday, the lawmaker representing Aba north/south federal constituency of Abia state, said he regrets his actions.

“What began as a misunderstanding escalated into actions and remarks I deeply regret, which do not reflect the values and character I strive to uphold, both as a citizen and as a representative of the people,” the statement reads.

“I sincerely apologize for my words and actions during this incident. I recognize the distress and frustration this has caused Citizen Abuwatseya, his family, and the public at large.

“As a public servant, I understand the weight of my role and how my words can impact others.”

The lawmaker said he and Abuwatseya have “explored alternative dispute resolution methods to address this issue and have reached a respectful resolution, which I am committed to following through.”

The legislator also apologised to Kayode Egbetokun, the inspector-general of police, for the “unintended disparagement” his remarks may have caused to him.

“I reaffirm my respect for the Nigerian Police Force and the Inspector General’s commitment to maintaining law and order,” he said.

“Additionally, I extend my sincere apologies to the leadership and members of this House and the National Assembly as a whole for any deficit in goodwill this incident may have caused.

“I am aware that my actions reflect not only on myself but also on this esteemed institution and the trust that the public places in us.

“This incident has been a humbling reminder of the necessity for restraint and self-control, especially in challenging circumstances.

“I sincerely apologize for any pain or discomfort my actions may have caused, and I am committed to learning from this experience to grow into a better citizen and a more empathetic representative of the people.

“This experience is particularly disheartening given my recent achievements in constituency engagement, including many interventions in health, agriculture, education, and economic empowerment for my people.

“It is a teachable moment not only for me but also for many in the political sphere, as we are held to higher standards of conduct and rhetoric, even under provocation.”

Ikwechegh added that he is committed to “using this as an opportunity for growth and as a call to be better, and do better.”

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