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Buhari deceived Nigerians, says Falana

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<strong>Femi
 Falana, Lagos-based human rights lawyer, says President Muhammadu 
Buahri has reneged on his campaign promise of not increasing the pump 
price of petrol.</strong><br />
Describing the increase as illegal, the 
lawyer demanded a reversal to the old rate. He said the government 
lacked statutory power to introduce new price regime because the body 
empowered to take such decision is yet to be constituted.<br />
He also advised Buhari not to allow “neo-liberal ideologues, with intent to punish the people” hijack his administration.<br />
Falana said this in a statement issued on Friday.<br />
<h4>
Below is the full statement</h4>
<em>During
 the campaign last year, the candidate of the All Progressives Congress,
 General Muhammadu Buhari pledged that if elected as President by the 
Nigerian people his administration would not remove fuel subsidy. Since 
he won the election last year President Buhari has consistently resisted
 pressures from the neo-liberal characters in the government to remove 
fuel subsidy and increase the price of petrol. On January 18, 2016 the 
federal government allayed the fear of Nigerians when the price of 
petrol was reduced to N86.50k per litre. In justifying the decision to 
the people the federal government claimed that the reduction was due to 
an implementation of the revised component of the Petroleum Products 
Pricing Template for PMS and household kerosene.  </em><br />
<em> It 
would be recalled that following the popular agitation against the 
removal of fuel subsidy in 2012, the Ministry of Petroleum Resources had
 announced the decision of the Goodluck Jonathan administration to set 
up 30 green field refineries in the country. </em><br />
<em>Shortly 
thereafter, the policy was jettisoned due to pressure from the cabal of 
local fuel importers. In 2013, the Jonathan administration secured a 
loan of $1.6 billion for the maintenance of the country’s four 
refineries. At the end of the repairs the refineries could only refine 
about 80,000 barrels of crude oil per day instead of 445,000 barrels 
earmarked for domestic consumption. </em><br />
<em>The Buhari 
administration has also spent millions of dollars for the so called turn
 around maintenance of the refineries. Barely a month ago, Dr. Kachikwu 
had announced that fuel subsidy had been removed through his ingenuity. 
In celebrating the “success” recorded by him in the management of the 
petroleum industry he disclosed that Nigeria was saving $1 billion in 
subsidy removal and $1 billion in fuel importation. He also stated that 
“for the first time, our refineries are ready to work now. Crude has 
been pumped from Brass to Port Harcourt. </em><br />
<em>Pipeline is 
being used for the first time in 10 years for the first time in six 
years. For the first time we are able to pump to Ilorin, we have not 
done that in 10 years.” (Nigerian Tribune, March 16, 2016). Curiously, 
Dr. Kachikwu’s “giant strides” in the petroleum industry appear to have 
collapsed completely before our very eyes!</em><br />
<em>Hence, without
 any public debate or consultation with relevant stakeholders whatsoever
 the federal government took the Nigerian people by surprise yesterday 
when it decided to increase the pump price of petrol from N86.50k to 
N145 per litre. Not too long ago, the federal government had supported 
the imposition of higher tariffs paid on epileptic supply of electricity
 by consumers. </em><br />
<em>In sentencing the Nigerian people to 
excruciating economic agony the Ministry of Power defied a court order 
which had restrained the government from giving effect to the proposed 
electricity tariff. In the same vein, the decision to increase the price
 of petrol is also illegal and contemptuous. In the case of Bamidele 
Aturu versus Attorney-General of the Federation (unreported suit No. 
FHC/ABJ/CS/591/2009) the Federal High Court declared illegal and 
unconstitutional the policy decision of the federal government to 
deregulate the downstream sector of the petroleum industry contrary to 
the combined effect of the provisions of the Price Control Act and the 
Petroleum Act.</em><br />
<em> In total defiance of the said order of 
the federal high court the federal government has deregulated the 
downstream sector of the petroleum industry. In justifying the illegal 
policy, Dr. Kachikwu claimed that “PPPRA has informed me that it will be
 announcing a new price band effective today, 11th May, 2016 and that 
the new price for PMS will not be above N145 per litre.” </em><br />
<em> Since
 the Petroleum Products Pricing Regulatory Agency (PPPRA) which is 
statutorily empowered to recommend the price of petroleum products has 
not been reconstituted the unilateral decision of the Executive 
Secretary of the body to fix the pump price at N145 per litre is ultra 
vires and illegal in every material particular. In view of the 
illegality, insensitivity and immorality of the price increase the 
federal government should cancel it, revert to the status quo and 
consult widely with all relevant stakeholders in the society.</em><br />
<em>However,
 due to the ongoing fuel crisis in the country the Directorate of 
Petroleum Resources (DPR) recently invited fresh bids for the setting up
 modular refineries. At the end of the screening exercise sometime in 
March this year the DPR announced that it had awarded 22 licences for 
modular refineries with combined capacities to refine 1.429 million 
barrels of crude oil per day. If the policy is genuinely pursued the 
construction of the refineries ought to be completed within the 9-12 
months. If such refineries are established in the country the 
importation of fuel and the fraud associated with it will stop. In the 
interim, instead of importing oil from Europe and the United States the 
NNPC should refine crude oil for domestic consumption in neighbouring 
countries which have functional refineries. After all, Nigeria refines 
60,000 barrels of crude oil per day in Cote d’ivoire which is not an oil
 producing nation.</em><br />
<em>If subsidy had been removed over a 
month ago and the country has been saving $2 billion (from fuel 
importation and subsidy removal) while the refineries are now working at
 full capacity Dr. Kachikwu should tell Nigerians the justification for 
the new removal of fuel subsidy announced by him yesterday. The cost 
elements that make up the N145 are provocative. If the total landing 
cost of a litre and other charges are fixed at N138 what is the basis of
 fixing the price at N145? For goodness sake, why should motorists be 
made to pay NPA/NIMASA charges, demurrage within and without /storage/ 
bridging charges etc?</em><br />
<em>At this stage President Buhari 
ought to prevent neo-liberal ideologues from hijacking the 
administration for the purpose of punishing the Nigerian people for the 
looting of the treasury and mismanagement of the national economy. 
Contrary to the position of the parasitic ruling class that prices of 
goods and services be fixed by market forces the federal government has a
 legal obligation to protect the people from exploitation. For instance,
 the virtual collapse of electricity supply has forced many corporate 
bodies and individuals to invest heavily in generators and diesel 
throughout the country. Although the price of diesel has crashed all 
over the world it has continued to increase in Nigeria due to 
manipulation. The federal government should, as a matter of urgency, 
abolish the monopoly in the importation and sale of diesel. There is no 
justification for the monopolistic control of goods and services under a
 free market economy!</em><br />
<em>source: thecableng </em>

Buhari deceived Nigerians, says Falana

Femi Falana, Lagos-based human rights lawyer, says President Muhammadu Buahri has reneged on his campaign promise of not increas...