• Hausa Edition
  • Podcast
  • Conferences
  • LeVogue Magazine
  • Business News
  • Print Advert Rates
  • Online Advert Rates
  • Contact Us
Thursday, August 7, 2025
Leadership Newspapers
Read in Hausa
  • Home
  • News
  • Politics
  • Business
  • Sport
  • Health
  • Entertainment
  • Opinion
    • Editorial
  • Columns
  • Football
  • Others
    • LeVogue Magazine
    • Conferences
    • National Economy
  • Contact Us
No Result
View All Result
  • Home
  • News
  • Politics
  • Business
  • Sport
  • Health
  • Entertainment
  • Opinion
    • Editorial
  • Columns
  • Football
  • Others
    • LeVogue Magazine
    • Conferences
    • National Economy
  • Contact Us
No Result
View All Result
Leadership Newspapers
No Result
View All Result

Business Owners Advocate More Sustainable Approach Amid Fuel Price Hike

by Olushola Bello
11 months ago
in Business
Fuel Price Hike
Share on WhatsAppShare on FacebookShare on XTelegram

Business owners have advocated for a more sustainable approach amid the negative impact of the fuel pump price hike.

Advertisement

The Nigerian National Petroleum Company Limited (NNPC) on September 3, 2024 raised the pump price of petrol to N897 per litre from the official price of N617.

Industry stakeholders maintained that the petrol subsidy is unsustainable, saying that “with the official price of petrol now at N855, it is a clear indication that the shortfall between the landing cost and the former price level of N568 charged by NNPC has been reduced. The burden of the shortfall has accumulated to a debt of N10 trillion.

They however said that “completely removing it and subjecting Nigerians to a significant fuel price hike presents significant challenges. A steep price hike would likely trigger widespread price increases, potentially reversing the recent easing in inflation seen in July and leading to another surge in inflation rates. Balancing the need for fiscal responsibility with the economic impact on citizens is a complex task for the government.”

The director-general of Manufacturers Association of Nigeria (MAN), Segun Ajayi-Kadir stated that “cost of transportation may increase, and so would the prices of goods and services. As the cost of petrol rises, consumers will spend more on transportation and energy, leaving them with less disposable income.

RELATED

Telcos Begin Implementation Of Harmonised Shortcodes

Drop In Telecom’s FDI To $80.78m Threatens Nigeria’s Digital Goals

3 hours ago
Manufacturing Woes Contributing To Foreign Exchange Shortage — NESG Report

Shrinking Industrial Base, Dominant Informal Sector Undermine Economic Growth, NESG Warns

3 hours ago

“This decrease in purchasing power may lead to reduced demand for non-essential goods and services, affecting businesses across various sectors. These are pointers to the high possibility of a rise in inflation figures, impacting household budgets.”

He noted that “manufacturing performance would be negatively impacted. Businesses may need to adjust their pricing strategies, which could lead to reduced profit margins if consumer demand weakens. Small and medium-sized enterprises (SMEs), which often operate on thin margins, could be particularly hard-hit. The increased costs could force some to scale down operations or even shut down if they are unable to pass on the additional costs to consumers.”

Also, the director-general of Lagos Chamber of Commerce & Industry (LCCI), Dr. Chinyere Almona, said “the impact on businesses will be severe, with fuel prices affecting supply and logistics, power generation, transportation, and factory operations. The cost of doing business will skyrocket, prices of goods will rise, and some firms may shut down due to low demand in the face of weakening consumer purchasing power. Of course, this will be followed by job losses.”

She noted that “the situation is critical when considered against the background of NNPC, which owes suppliers about $6 billion. The operation of the Dangote Refinery, which now produces fuel and diesel for sale, offers a glimmer of hope.

 

“This game-changing intervention could restore some stability to the oil and gas sector, which has been grappling with significant distortions this year.”

Almona advocated for a more sustainable approach, saying that “supporting the development of additional local refineries to process our crude for local consumption and potential export across Africa is the way forward. This long-term strategy is crucial for the stability and growth of our economy.

“As an immediate intervention, it would be beneficial for the Port Harcourt Refinery to commence operations alongside production from the Dangote Refinery. Given the current challenges with importing refined fuel, relying on local production may be the most viable option at this time.

“We recommend sustaining local supplies, with the expectation that demand will eventually align with supply, leading to equilibrium pricing across various sources.”


We’ve got the edge. Get real-time reports, breaking scoops, and exclusive angles delivered straight to your phone. Don’t settle for stale news. Join LEADERSHIP NEWS on WhatsApp for 24/7 updates →

Join Our WhatsApp Channel




Tags: Fuel Price Hike
SendShareTweetShare
Previous Post

Zenith Bank Trade Seminar: Stakeholders Highlight Need For Value-added Exports

Next Post

Waterway Transport Fares Highest In South South

Olushola Bello

Olushola Bello

You May Like

Telcos Begin Implementation Of Harmonised Shortcodes
Business

Drop In Telecom’s FDI To $80.78m Threatens Nigeria’s Digital Goals

2025/08/07
Manufacturing Woes Contributing To Foreign Exchange Shortage — NESG Report
Business

Shrinking Industrial Base, Dominant Informal Sector Undermine Economic Growth, NESG Warns

2025/08/07
Mixed Performance On Equities Expected This Week
Business

Bulls Extend Run, Equities Cap Hits N92trn On Renewed Investor Optimism

2025/08/07
Stanbic IBTC Restates Support For Business, Economic Growth
Business

Stanbic IBTC Capital Named Best Investment Bank

2025/08/07
UBA Adds PAPSS To Chatbot LEO For Local Currencies’ Cross-border Payments
Business

UBA Adds PAPSS To Chatbot LEO For Local Currencies’ Cross-border Payments

2025/08/07
Heritage Bank: NDIC Begins Uninsured Depositors’ Payment From April
Business

NDIC Pays N54.62bn To 691,418 Customers Of Defunct Heritage Bank

2025/08/07
Leadership Conference advertisement

LATEST

Speakers Confab: CoSPAL Scribe Seeks Stronger Global Cooperation

NLC Raises Alarm Over SDGs Setback, Labour Rights Violations

Federal Gov’t Endorses AIFF 2025, Pledges Support For Northern Creative Industry

Bauchi LG To Ban Women, Girls From Going To Farm

FG Commends Yobe Over Achievements In Basic Education

Borno Teaching Hospital Will Reduce Medical Tourism – Zulum

Secure Approval On Any Issue, Kano Govt Warns Public Officials

Catholic Bishop Calls For Fertiliser Subsidy

Ex Imo Dep Governor Challenges Federal Gov’t, Governors On 12m Malnourished Children

Migration Agency Debunks Extortion Allegation Of Arrested Sex Workers

© 2025 Leadership Media Group - All Rights Reserved.

No Result
View All Result
  • Home
  • News
  • Politics
  • Business
  • Sport
  • Health
  • Entertainment
  • Opinion
    • Editorial
  • Columns
  • Football
  • Others
    • LeVogue Magazine
    • Conferences
    • National Economy
  • Contact Us

© 2025 Leadership Media Group - All Rights Reserved.