Nigeria’s major oil marketers have significantly benefited from the Federal Government’s recent policy to eliminate subsidies on petroleum products. This change has allowed marketers to operate in a more market-driven environment, leading to substantial financial gains.

In the first nine months of 2024, four prominent oil marketers reported significant revenue gain, earning a total sum of N1.3tn from the sales of petroleum products to Nigerians.

Despite the considerable costs involved in fuel imports, the oil firms spent N833.86bn on the importation of petroleum products within the period, making their gross profit on petrol sales hit N465.92bn.

This is according to the nine months’ financial statements of the companies as listed on the Nigerian Exchange.

The oil companies include Total Energies Marketing Nigeria, MRS Oil Nigeria, Eterna Plc, and Conoil Plc.

The firms also navigated rising operational expenses, achieving more than 100 per cent year-on-year growth in their nine months’ net profits, thanks to subsidy removal.

In May 2023, the current administration announced the removal of subsidies, jacking up petrol prices and resulting in more revenues and profits for major oil marketers. The petrol price has hovered from N200 per litre since late May 2023 to over N1,060 per litre in November 2024.

The statement showed that the four companies posted a cumulative profit after tax of N45.3bn, representing a significant 146 per cent year-on-year growth from the N18.5bn posted in the corresponding period of 2023.

A breakdown of the results showed that the companies spent a total sum of N833.86bn to import fuel between January and September 2024, representing an increase of 99.4 per cent or N415.76bn from N418.1bn within the same period of 2023.

While revenue from petrol sales increased by 98.4 per cent or N644.57bn from N655.2bn recorded in 2023 to N1.29tn in 2024.

TotalEnergies Marketing Nigeria, posted the highest amount on fuel import, spending a total sum of N234.68bn on fuel import in the first nine months of 2024. This represents an increase of 84.95 per cent from N126.88bn spent to bring in the products in 2023. It also made a revenue of N634.1bn from N326.38bn in 2023.

This means the company made a gross profit of N399.4bn in 2024, an increase of 100.21 per cent from the N199.49bn gross earnings in 2023.

Similarly, Conoil Plc spent N220.53bn on bringing in fuel products in the first nine months of 2024. The oil firm spent N117.13bn to bring in the same product in 2023.

However, its revenue from these sales increased by 82.96 per cent to N244.53bn in 2024 from N133.65bn revenue in 2023. This indicates a gross profit increase of 45.27 per cent.

Eterna Plc spent N179.51bn on fuel imports but made a revenue of N203.18bn in 2024. In 2023, it spent N98.49bn on fuel imports and made revenue of N109bn. This indicates a gross profit increase of 125.21 per cent.

MRS Oil Company spent N199.14bn on fuel imports but made revenue of N217.98bn in 2024. In 2023, it spent N75.58bn on fuel imports and made revenue of N86.17bn. This indicates a gross profit increase of 77.9 per cent.

The oil company in its statement explained that its average monthly revenue value has increased by about 200 per cent when compared with revenue performances before the deregulation.

It added that sales volume improved in the last quarter of the year, and the business achieved performance above budget expectations for the year.

It noted however that the policy significantly affected the working capital requirements of the company by more than 180% and consequently increased our finance cost on bank credit lines for product purchase

“The implementation of deregulation policy on Petroleum Motor Spirit immediately after the inauguration of the new government in Nigeria had a significant impact on our industry. This product line alone contributes about 94 per cent of the total revenue of the company in the year. The policy significantly affected the working capital requirements of the company by more than 180 per cent and consequently increased our finance cost on bank credit lines for product purchases.

“Subsequently, in the first three months immediately after the policy took effect, our sales volume decreased by about 40 per cent compared to the average monthly sales volume of the months before the policy. Also, due to the increase in the pump price resulting from the subsidy removal, our average monthly revenue value in the last three months of the year increased by about 200 per cent comparatively with revenue performances before deregulation. Sales volume also improved in the last quarter of the year,” the statement partly read.

This remarkable performance underscores the financial impact of the subsidy removal and the potential for increased profitability in the oil sector.

The shift in policy has not only transformed the landscape for oil marketers but has also raised questions about the implications for consumers and the overall economy. As these marketers continue to navigate the new market dynamics, industry analysts and policymakers will closely monitor their performance.

While the oil firms had benefitted significantly from the subsidy removal policy, several manufacturers had to count their losses due to soaring energy costs.

Four large-scale manufacturers including Dangote Cement, BUA Foods, BUA Cement, and Dangote Sugar spent N550.36bn on fuel purchase in nine months. The amount represents an increase of N282.92bn from N267.44bn spent in the same period of 2023.

Meanwhile, the four marketers have stated that the Federal Government through the Nigeria Midstream and Downstream Petroleum Regulatory Authority currently owes the firms a total of N36.56bn in bridging claims.

Bridging claims relate to reimbursable from Nigeria Midstream and Downstream Petroleum Regulatory Authority for the costs incurred on transportation of Petroleum Motor Spirit from supply points to the retail stations.

The firms said TotalEnergies is owed N22.68bn, Conoil (N4.58bn), Eterna (N1.93bn), and Mrs Oil (N7.38bn).

Some Nigerians have taken to social media to react to the recently disclosed petrol prices from Dangote Refinery.

 Recall that Dangote Refinery revealed its petrol prices following claims by the Independent Petroleum Marketers Association of Nigeria (IPMAN) and the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) that they import petrol at cheaper rates.

In its reaction on Sunday, the refinery disclosed that its petroleum products are sold at N990 per litre for truck distribution and N960 per litre for ship distribution.

In a statement released on Sunday night and signed by Anthony Chiejina, Group Chief Branding and Communications Officer, the refinery stated that it adheres to the pricing benchmark set by the Nigerian National Petroleum Company Limited (NNPCL), adding that it offers a lower price for sales into ships.

The statement has, however, continued to elicit various reactions from social media users. While some question why it took so long for the refinery to disclose the prices of its products, others believe the amount is high, given that the refinery is located in Nigeria.

Reacting to the development on X, a user, @AdekunlePhilip wrote, ”Dear Dangote, N990/litre for PMS is not in any way considerate to Nigerians who had high hopes in the completion and kick-off of your refinery. We expected nothing more than N500/litre. If you will not treat us with preference, then let us buy from importers in one peace.”

Another user, @EEneremadu tweeted, “Why should Dangote sell at 960 into ships? Are we importing it. NNPCL price of 970 into ships includes freight etc but Dangote doesn’t include freight so why should it be almost same price.”

@EbenzAd wrote, “You’re selling at N990 per litre like the imported one. Is that not wickedness? What’s the need of having a local refining then? Is it to beat down price to assist the common man. We hope an imported one come in and is sold lesser than yours.

In his words, @SamuelI10540458 wrote, “990 for trucks is on the high side sha. Dangote can do better.”

“Finally, the price is out. Why are you hiding the price before.” @Femijohnson2 opined. 

Reacting to the pricing on Facebook, a user, Idorenyin O. Atti wrote, “I have never believe in Dangote making anything easy for Nigerian, he is a business man, out to make his profits, i hate it when he present things as if he is helping Nigerians. He just want to monopolize oil just as he is in charge of cement etc.

Marketers should be free to buy fuel anyway of their choice. What is he crying about?”

Another user, Lawrence Obika wrote, “Your price is too high, you can now get crude oil direct from NNPC with Naira, what are we getting in return?”

“This is too much to be considered or adopt as a price. In addition with the loading, truck and other expenses on a liter will cost the retailers nothing than 1300 per liter to consumers. Pls put the masses to consideration, you’ll simply make your money in due time why we’re also hoping to see in you in another field to develop Nigeria,” Prince Excel Teekay Adeyinka opined. 

The Presidency has said that Nigerians rejected the ideas of former Vice President Atiku Abubakar’s ideas in the 2023 elections.

This comes as the presidential candidate of the Peoples Democratic Party (PDP) in the 2023 election spoke of what he would have done to tackle the problems of Nigeria if he had been elected president.

But in a response by Bayo Onanuga, Special Adviser to President Tinubu (Information and Strategy) said Atiku would have plunged the country into a worse situation.

The statement read: “We have just read a statement credited to former vice president Alhaji Atiku Abubakar, in which he tried to discredit President Bola Tinubu’s economic reform programmes while pushing his untested agenda as a better alternative.

“First, Alhaji Atiku’s ideas, which lacked details, were rejected by Nigerians in the 2023 poll.

“If he had won the election, we believe he would have plunged Nigeria into a worse situation or run a regime of cronyism.

“Abubakar lost the election partly because he vowed to sell the NNPC and other assets to his friends. Nigerians have not forgotten this, nor would they be comforted by Atiku’s antecedents when he ran the economy in the first term of President Olusegun Obasanjo’s government between 1999 and 2003.

“As vice president, Atiku supervised a questionable privatisation programme. He and his boss demonstrated a lack of faith in our educational system, and both went to establish their universities while they allowed ours to flounder.

“Talk is cheap. It is easy to pontificate and deride a rival’s programmes even when there are irrefutable indices that the economic reforms yield positives despite the temporary difficulties.

“Despite the futile attempt to hoodwink Nigerians again in his statement, it is gratifying that the former Vice President could not repudiate the economic reforms pursued by the Tinubu administration because they are the right things to do.

“His advocacy for a gradualist approach only showed that he was not in tune with the enormity of problems inherited by President Tinubu.

“It is so easy to paint a flowery to-do list. It is expected of an election loser.

“President Tinubu met a country facing several grave challenges. Fuel subsidies were siphoning away enormous resources we could ill afford, and there was criminal arbitrage in the forex market.

“No leader worth his name will allow these two economic disorders to persist without moving to end them surgically.

“While advocating for gradual reforms may sound appealing, Tinubu took measures that should have been taken decades ago by Alhaji Abubakar and his boss when they had the opportunity.

“Alhaji Abubakar calls for empathy and a human face to reforms. We have no problem with this as it resonates well with our administration’s focus. President Tinubu has consistently emphasised the need for compassion and protection of the most vulnerable.

“The administration has prioritised social safety nets and targeted support for those affected by recent economic transitions.”

The Independent Corrupt Practices and Other Related Offences Commission (ICPC) has arraigned Hauwau Gimbiya Mukhtar Abdulkarim, the serving Provost of the Federal College of Education (Technical) (FCET), Gusau, alongside Abdullahi Boyi, a lecturer with the Sokoto State College of Education (SSCE) Sokoto on alleged certificate forgery.

The duo were arraigned on a six-count charge, registered as charge No. SS/213c/2024, before Hon. Justice Muhammad Aliyu Sambo at the Sokoto State High Court.

ICPC accused the two defendants of forging an appointment letter and subsequent use of same for application for the position of Provost at the Federal College of Education(Technical) Gusau, Zamfara.

They were also accused of making false statements to the officers of the ICPC in the course of investigation which is an offence under Section 25(1) (a) and punishable under Section 25 (ii) (b) of the Corrupt Practices and Other Related Offences Act 2000.

Count one of the charges reads: “That you Hauwa’u Gimbiya Mukhtar Abdulkarim (F) and Abdullah Boyi (M) sometimes in the year 2023 or thereabout at Sokoto within the Jurisdiction of this Honourable Court, conspired to do an illegal act to wit: forgery of a letter of “Notification for Appointment” to the Post of Chief Lecturer on COMPCASS 14 with effect from 1st January 2017 and you thereby committed an offencecontrary to section 59(1) and punishable under section 60(2) ofthe Sokoto State Penal Code Law,2019.”

Both defendants however pleaded ‘not guilty’ to all six charges when read to them by the Court’s Registrar.

Counsel for the defendants, Dr. Muhammad Mansur Aliyu and Mr M.S Diri SAN respectively moved for applications for bail on behalf of their clients.

They requested the court to consider reasonable terms for bail citing the defendants’ “established positions and cooperation during the investigation.”

Counsel to the ICPC, Mr. Suleiman Ahmad did not oppose the bail applications.

Hon. Justice Sambo, after considering the applications, granted bail under specific conditions designed to ensure the defendants’ continued presence throughout the trial proceedings.

The bail conditions require each defendant to provide two sureties who are permanent residents of Sokoto State, with each surety signing a bond of one million naira (₦1,000,000).

Following the granting of bail, the ICPC prosecutor requested a date for trial to commence, emphasizing the Commission’s preparedness to present witnesses and evidence in support of the charges.

Hon. Justice Sambo adjourned the matter to 21st November 2024, when the hearing is set to begin.

The prosecution is expected to call witnesses and introduce material evidence to substantiate the allegations as contained in a statement signed by Demola Bakare, Ag. Director, Public Enlightenment and Education/Spokesperson for the Commission made available to Journalists on Sunday.

A Chief Magistrate Court in Wuse Zone 2, Abuja, has sentenced ‘Professor’ Jide Josiah Jisos to six months in prison for impersonation during the 2019 Unified Tertiary Matriculation Examination (UTME).

The sentence was handed down by Chief Magistrate Honourable Justice Folashade Oyekan on October 24, 2024.

Jisos was apprehended by officials from the Joint Admissions and Matriculation Board (JAMB) while monitoring the UTME at Brix Academy in Abuja.

According to a statement from JAMB’s Public Communication Advisor, Dr. Fabian Benjamin, Jisos falsely presented himself as a representative of a non-governmental organization (NGO) with the intention of overseeing the examination.

His ruse was exposed when he was questioned by the leader of the monitoring team, who sought clarification about his presence. 

Unable to provide satisfactory answers, Jisos was arrested and handed over to security personnel for further investigation.

During interrogation, Jisos admitted that he had no affiliation with any NGO and had entered the examination hall to assist his daughter in taking the UTME.

In addition to the six-month prison sentence, he was given the option to pay a fine of N100,000.

This case underscores JAMB’s ongoing efforts to maintain the integrity of the examination process and discourage fraudulent activities associated with academic assessments in Nigeria.

The Non-Academic Staff Union of Educational and Associated Institutions (NASU) and the Senior Staff Association of Nigerian Universities (SSANU) have announced the suspension of their nationwide indefinite strike over withheld salaries.

The unions disclosed that the suspension will take effect on Tuesday, November 5, 2024.

In a joint statement signed by NASU General Secretary, Prince Peters Adeyemi, and SSANU National President, Comrade Mohammed Ibrahim, the unions stated that their decision follows a period of industrial action that began on October 28, 2024.

The unions had embarked on the strike in response to what they described as the “government’s insensitivity” to their demands regarding unpaid salaries.

The unions expressed that the strike was a necessary step to draw attention to their plight, emphasizing their commitment to ensuring fair treatment and timely payment for their members across institutions nationwide.

The statement reads, “The National leadership of the Joint Action Committee (JAC) of NASU and SSANU acknowledges and commends our members in the Universities and Inter-University Centres for their unwavering resolve, unrelenting determination and steadfast support for the ongoing strike action.

“You will recall that the ongoing strike action foisted on us commenced on the Monday, 28th October, 2024 as a result of Government’s insensitivity to the plights of our members in respect of our legitimate demands

“During this industrial struggle, we have had several extensive and exhaustive deliberations with the officials of the Federal Government of Nigeria including the new Minister of Education, the Minister of Finance, the outgoing Minister of State for Education, the Permanent Secretary, Federal Ministry of Education, the Accountant-General of the Federation and the leadership of the Department of State Services

“These high-level engagements culminated into extracting an irrevocable commitment from the Federal Government that the 2 months of the 4 months withheld salaries would be paid in staggered form. One month by the end of October, 2024 (which has largely been done), then the second month to be paid by the end of November, 2024.

“Arising from the above and in view of the level of commitment exhibited by the new minister and the leadership of the Department of State Services, the leadership of JAC, after several contacts and other patriotic considerations, hereby directs that the ongoing indefinite strike be suspended for one- month effective Tuesday, 5th November, 2024.

“Branch leaders of both NASU and SSANU are hereby directed to convene a joint Congress in their respective campuses on Monday, 4th November, 2024 and intimate members of these development and urge them to resume work on Tuesday, 5th November, 2024.

“We wish to also reiterate that discussions on the remaining 2 months, the N50 billion Earned Allowances, Arrears of 25/35 per cent and the Wage Award have been revisited and are undergoing deliberations.

“Thank you for your usual understanding and cooperation in this regard; we appreciate your total commitment and resoluteness during this struggle.”

Ondo State Governor, Lucky Aiyedatiwa, on Sunday, denied receiving N1.2 billion as security votes for the state.

He stated in Akure, the state capital during the Ondo State governorship election debate organised by Channels Television and its partners.

Aiyadatiwa, who is seeking election in the November 16 governorship election under the All Progressives Congress (APC), accused his Peoples Democratic Party (PDP) candidate, Agboola Ajayi, of telling lies to the whole world about the monthly security allocations.

“You don’t just play politics by coming here to the whole world that somebody is drawing N1.2 billion as a security vote. That is a lie from the pit of hell,” he said, without divulging the exact amount he gets as security votes.

The governor explained that every spending done in government has a budgetary provision for it, arguing that his administration will act above the budget.

He directed the PDP governorship candidate to crosscheck his information before giving out inaccurate information that can be misleading to the public.

“The budget is being published; it is on the net. You will see the appropriation for security votes and other expenditures, both capital and recurrent.

“What he is saying is not true. How can you say that during the Edo election week, I withdrew N1.2 billion? Am I the one contesting for the election? I am surprised you can’t say the truth,” he said.

Ondo Security

During the debate, the governor said the state government has beefed up security to ensure that lives and properties are safe.

He explained that after the deadly attack by gunmen in the Owo area of the state, the local security network, Amotekun, has augmented the efforts of the police and other security agencies.

According to the governor, Ondo State is one of the safest states in the country as lives and properties are safe.

“I can tell you that the people of Ondo State, not just Owo, feel more secure right now because, after that attack, security is one of the mandates of the government.

“We also brought out the initiative that led to the creation of our homegrown security network Amotekun because we believe that conventional security at the time could not handle the security challenges that we faced in Ondo State,” he added.

Police operatives have arrested 130 suspects for cybercrimes and hacking.

Minister of Works, Dave Umahi, has appealed to those whose properties were demolished as a result of the ongoing Lagos-Calabar Coastal Road project to show understanding with the Bola Tinubu administration. 

Umahi said his properties have been demolished for some road projects in parts of the country.

He spoke on Sunday when he held a public engagement in the Victoria Island area of Lagos with stakeholders and homeowners whose properties were affected by the project.

 
The minister was accompanied by federal lawmakers inspecting ongoing infrastructure projects across the nation.

Umahi said, “While the case is going on, we plead for your cooperation so that whatever the court says, we will obey. But please, let nobody take laws into his or her hands.

“I plead with you if you are offended by me or the ministry, please accept our apology. The coast highway must be on land and where there are issues like cables, we will do a flyover or refinery, we will do a flyover.

“In Port Harcourt, my property was also involved in the construction of East-West Road, totally demolished. In Aba, my property was also involved.

“Please, bear with me and know that we have nothing to benefit or hide.”

The minister said the final designs would be produced, insisting that the shoreline belongs to the Federal Government. “The beachside is not your land, the beachside belongs to the Federal Government,” he said.

The minister also said compensations would be paid to those whose houses were brought down.

The Lagos-Calabar Superhighway, estimated to cost about N15 trillion, is designed to connect Lagos to Cross River, passing through Ogun, Ondo, Delta, Bayelsa, Rivers, and Akwa Ibom states, before culminating in Cross River.

The project, which has caused some buildings to be demolished, has attracted a barrage of intense criticisms from many Nigerians who strongly felt that the timing of the project was wrong but Umahi said the project is in the best interest of Nigerians.

Dangote Refinery has disclosed the price of its petrol, saying that it sells at N990 per litre in trucks and N960 per litre into ships.

The disclosure follows the Independent Petroleum Marketers Association of Nigeria (IPMAN) and Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) claim of importing the products at cheaper rates compared to that of Dangote.

The marketers had in an earlier interview claimed that they are buying at cheaper rates abroad while calling on Dangote Refinery to engage stakeholders.

But in its reaction, the refinery said that it is only substandard products that can be imported at cheaper rates than its own products.

In a statement released Sunday night and signed by the Group Chief Branding and Communications Officer, Anthony Chiejina, Dangote Refinery noted that it followed the pricing benchmark by the Nigerian National Petroleum Company Limited (NNPCL), adding that it went lower in pricing for selling into ships.

It reads, “Both organisations claim that they can import PMS at lower prices than what is being sold by the Dangote Refinery. We benchmark our prices against international prices and we believe our prices are competitive relative to the price of imports.

“If anyone claims they can land PMS at a price cheaper than what we are selling, then they are importing substandard products and conniving with international traders to dump low-quality products into the country, without concern for the health of Nigerians or the longevity of their vehicles. Unfortunately, the regulator (NMDPRA) does not even have laboratory facilities which can be used to detect substandard products when imported into the country.

“Post deregulation, NNPC set the pace by selling PMS to domestic marketers at N971 per litre for sale into ships and at N990 for sale into trucks. This set the benchmark for our pricing and we have even gone lower to sell at N960 per litre for sale into ships while maintaining N990 per litre for sale into trucks.

“In good faith, and in the interest of the country, we commenced sales at these prices without clarity on the exchange rate that we will use to pay for the crude purchased.

“At the same time, an international trading company has recently hired a depot facility next to the Dangote Refinery, to use it to blend substandard products that will be dumped into the market to compete with Dangote Refinery’s higher quality production.

“This is detrimental to the growth of domestic refining in Nigeria. We should point out that it is not unusual for countries to protect their domestic industries to provide jobs and grow the economy. For example, the US and Europe have had to impose high tariffs on EVs and microchips to protect their domestic industries.

“While we continue with our determination to provide affordable, good quality, domestically refined petroleum products in Nigeria, we call on the public to disregard the deliberate disinformation being circulated by agents of people who prefer for us to continue to export jobs and import poverty.”