By Babatunde Solanke
Fuel queues have resurfaced in Lagos as a result of the hike in the pump price of petrol.
Networktimes.com.ng had reported that fuel which sold for between N480 and N500 per litre as of last night was increased to N700 in some parts of Lagos on Tuesday morning.
However, this triggered panic buying as motorists raced to filling stations across the city.
At MOJ petrol station situated along Iyana Ipaja to Ayobo, there are vehicles on a long stretch within and outside the facility.
Also at Red Oil petrol station on the same route, private vehicle owners and commercial bus drivers were seen queuing to buy the product
However, this triggered panic buying as motorists raced to filling stations across the city.
A commercial tri cycle operator in plying Iyana Ipaja to Ayobo told networktimes.com.ng that she bought at the new rate.
I don’t what happening in the country. This morning, I bought the product at the rate of N700 per litre
The immediate reason could not be ascertained as at the time of filing this report but it observers are of the view that it might be connected to the recent projections by oil marketers that fuel price will hit N700 per litre soon.
Networktimes.com.ng recalls that some oil marketers had predicted that petrol prices could rise above N700 per litre in the northern region and around N600 in Lagos once independent marketers start importing the products from July.
Their predictions were based on the current high exchange rate, crude price and landing cost.
The trend caused tension and panic buying as queues of motorists sprung up in some filling stations in Lagos.
But the Independent Petroleum Marketers Association of Nigeria (IPMAN) and Association of Distributors and Transporters of Petroleum Products (ADITOP) denied plans to increase petrol price to N700 per litre.
The associations in an interview with the News Agency of Nigeria (NAN) dismissed reports of the alleged increase of pump price as speculations.
They said fuel price was being driven by market forces and given the current high exchange rate, the pump price of Premium Motor Spirit (PMS), otherwise called petrol could increase, hence the prediction.
The Nigeria Midstream and Downstream Petroleum Regulatory Authority (NDMPRA) as at the time of filing this report, is yet to comment on the latest development .
Recall that during his inaugural speech on May 29, President Bola Ahmed Tinubu had announced the removal of fuel subsidy, leading to the increased price of petrol from N195 to N540 per litre.
As a result of the development in increase in petrol prices, prices of goods and foodstuff , just as transportation fare also on upward trend.
Since the first increase in fuel pump price at the beginning of Tinubu’s administration, Nigerians have been lamenting the effect of subsidy removal on their lives.
But Tinubu’s three months old administration has promised relief.
Last week when he hosted class of 1999 Governors, Tinubu appealed for more patience from Nigerians.
He assured Nigerians that the framework for palliatives to remedy the effects of fuel subsidy removal was being worked out.
“I understand that our people are suffering yet there can be no childbirth without pain. The joy of childbirth is the relief that comes after the pain. Nigeria is reborn already with fuel subsidy removal. It is a rebirth of the country for the largest number over a few smugglers. Please tell the people to be a little patient.”
“The palliative is coming. I don’t want cash-transfer to fall into wrong hands. I know it pinches and it is difficult. In the end, we will rejoice in the prosperity of our country,’’ he had told the governors, who were led by former Governor of Edo State, Lucky Igbinedion.
Tinubu had earlier written to the House of Representatives to seek an amendment to the 2023 supplementary appropriation act to accommodate N500 billion for provision of palliatives for Nigerians.
The parliament subsequently approved the request of Mr. President.