Governor Babatunde Fashola of Lagos State yesterday wondered why the federal government was reluctant towards reducing the pump price of oil from the current N97 per litre it is sold in the country, even when the price has declined in the global market.
The Governor spoke while addressing hundreds of youths at the Lagos State After School Graduation Development Centre, AGDC, IGNITE Employability Project 5, Ikeja.
While disclosing that as at Friday, the Organisation of Petroleum exporting Countries, (OPEC) had on its website, pegged the oil price at $66.27 per barrel, he lamented that Nigerians were not receiving fair treatment from the government like citizens in other oil producing nations.
Hear the Governor, “Now, we should be enjoying cheap fuel if the price of oil has dropped globally. And even as we import the product, a major component has reduced in price. While this has reduced, the pump price of fuel in the country still remains the same. Something is wrong.
“If the price increases in the country when the price of oil goes up globally, then it should also reduce when the price of oil drops.
“I understand that I am not an economist; they (federal government) are the economist. But I have some logic and common sense to ask critical questions. For instance, if one buys flour at N10 per kilogram, and the bread is sold at N1 per loaf, if the price of flour drops, the price of the bread should also change”, he pointed out.
Fashola went on to request the President Goodluck Jonathan-led administration to follow the example of other countries that have reduced the pump prices of oil products for their citizens as a result of declining global price of crude oil.
While observing that the oil sector of the country had not been developed to take care of the challenges faced by the nation, especially unemployment, Fashola said: “The economy is not doing well. Some of you are compelled to try to survive through whatever means.”
The Governor further showed how the oil sector can be used to tackle unemployment challenge, saying, “If we are trying to build refinery with Dangote in LFZ, Epe; and the construction alone would require 8, 000 workers. It means that they must get to work and back. So there is need for transportation service.
“There is need for food. And other services during work. And post construction,” he added.
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