Nigeria is facing a full-blown national crisis as virtually all
sectors of the economy has grounded to a halt as the fuel scarcity bites harder
across the country.
As the economy races to breakdown, the Nigerian government
appears helpless, with President Goodluck Jonathan merely counting days to hand
over the problem to the incoming government of Muhammadu Buhari on Friday.
From the Federal Capital Territory, Abuja, to the 36 states of
the federation, reports are that virtually all public and private institutions
have shut down in the face of shortage of fuel to maintain normal businesses.
Worse hit are hospitals, schools, banks, transportation companies
and telecommunication operators, which have either suspended normal operations
or issued notices of closure or scaling down on full business hours for lack of
fuel to power the engines that power their activities.
For most part of last week, several airline operators announced
plans to significantly alter their normal flight schedules, blaming it on their
inability to get aviation fuel for their aircraft.
“Due to the current scarcity of Jet-A1 fuel being experienced in
the country, we regret to inform you that all our flights will not operate
regularly as scheduled,” one of Nigeria’s premier arlines, Aero Contractors,
informed its customers on May 22. “We regret any inconveniences the changes will
cause. All efforts are being made to ameliorate the situation and revert to our
regular flight schedule.”
At the airports in Abuja and Lagos, thousands of travellers were
stranded as most airlines cancelled their scheduled flights.
Both MTN and Airtel, two of Nigeria’s major telecommunications
operators, have all notices to their customers to inform them that their
services might be disrupted till the fuel supply situation improves.
The text message from Airtel management to its customers on
Sunday read: “Dear Valued Customer, this is to inform you that due to
nationwide fuel crisis our services may experience some strain. We are doing
everything possible to manage the situation. Thank you for understanding.”
In a similar message on Sunday, the management of GTBank issued
notice of early closure of its branches nationwide.
“The current shortage of petroleum products in the country has
limited our ability to supply diesel to all our branches, in order to continue
normal branch operations.
“Due to this, we unavoidably have to close our branches
nationwide at 1 pm, from tomorrow Monday, 25th May 2015,” the bank said in the
text message.
In its own notice to customers, MTN announced that the
intractable fuel shortage might force it to shut down some of its base-stations
that are powered by diesel-operated generators.
“The management of MTN states that the current diesel scarcity in
most parts of the Nigeria is posing threat to quality of services and the
ability to optimally operate the network,” the company said in a statement
released on its Twitter handle.
“MTN’s available reserves of diesel are running low and the
company must source for significant quantity of diesel in the very near future
to prevent a shut down of services across Nigeria. If diesel supplies are not
available within the next 24 hours the network will be seriously degraded and
customers will feel the impact.”
Car dealer, Cosharis Motors, has also warned buyers of its new
BMW cars to park them until fuel is available, apparently in other to avoid
using adulterated fuel purchased from the black market to run the vehicle that
may cause serious mechanical damage in the cars. Experts say the new BMW cars
have zero tolerance for adulterated fuel.
Throughout last week, as the fuel scarcity took its toll on
businesses, parents experienced difficulties transporting their wards to school
and back, as no filling station opened for business following the continued
strike action oil workers.
Some schools’ management in Abuja and environs were compelled to
order early closure of their schools for mid-term break, as most teachers and
parents could not cope with the unprecedented pressure imposed on them by lack
of fuel.
On Sunday, the Divine Scholars School in the Lekki area of Lagos
informed parents it is closing for mid-term break till June 1, although
insiders in the school said the forced holiday was caused by the biting fuel
shortage
A visit to some public hospitals, including the National
Hospital and Garki General Hospital, witnessed significant reduction in
activities at the weekend.
Similarly, churches and other places of worship in the Federal
Capital Territory also witnessed low turnout of the usual population of
worshippers, most of whom found movement difficult.
At Jabi and other locations where there are motor parks, the
usual hustle and bustle of activities by travellers were almost absent, as very
few commercial transport operators were on duty.
The Lagos Chamber of Commerce and Industry (LCCI) on Sunday
called on the incoming administration of Muhammadu Buhari to consider the
deregulation of the oil and gas downstream sector as a priority on assumption
of office.
The President of the Chamber, Remi Bello, said the current fuel
scarcity and power supply situation in the country have grounded the economy
.
Mr. Bello said only the immediate deregulation of the sector would help resolve the recurring problem of scarcity of petroleum products in the country.
.
Mr. Bello said only the immediate deregulation of the sector would help resolve the recurring problem of scarcity of petroleum products in the country.
The Chamber identifies massive corruption in the fuel subsidy
regime, collapse of the country’s refineries, dwindling investment in the
downstream sector and loss of jobs as some the key challenges the sector was
facing.
The current fuel subsidy regime and government’s direct
involvement in the operations of oil and gas sector should be stopped if normalcy
is to be restored in the nation’s economy.
Regardless, while the people continue to suffer untold hardship
as a result of the fuel supply crisis, the oil marketers and the outgoing
government continue to bicker in their unending blame game over unpaid subsidy
claims.
The marketers, under the umbrella groups of Major Marketers
Association of Nigeria (MOMAN), the Depot and Petroleum Marketers Association
(DAPMA) and the Independent Petroleum Marketers Association of Nigeria (IPMAN),
have continued to accuse government of refusing to pay outstanding claims of
about N200 billion.
But the outgoing Minister of Finance, Ngozi Okonjo-Iweala, on
Saturday accused the marketers of blackmail, claiming that government had
agreed with marketers that N159 billion would be paid after a reconciliation by
a committee constituted for that purpose.
Meanwhile, another systems collapse has been reported at Shiroro
Power Plant on Sunday amid the worsening energy crisis.
The latest systems collapse reported at about 4.10 pm on Sunday
by the Abuja Electricity Distribution Company (AEDC) said the development has
left the zone with just 15 mega watts (MW) at about 5.05 pm.
The AEDC said at about 6.50pm, only sensitive installations
within the Central Business District had electricity supply.
The Permanent Secretary, Ministry of Power, Godknows Igali, had
on Friday reported that power generation nationwide had dropped from 4,800MW to
1,327MW, leading to the massive load shedding ongoing across the country.
The AEDC said it has sent alerts to customers in the FCT, Kogi,
Nasarawa and Niger states to apologise to them for the difficult situation
caused by the huge drop in power supply from the national grid, from about
450MW daily to less than 200MW in recent times.
The company said allocation to the zone for Friday, May 22 was
145MW, while allocation for both Saturday and Sunday, May 23 and 24, was
115.6MW.
“The situation has been worsened by the system collapse at
Shiroro this evening, which brought our supply down to 15MW,” the company said
in a statement.













