A senior lecturer at Hussaini Adamu Polytechnic, Kazaure, Dr. Tijjani Ahmad, has explained that the recent increase in fuel prices in Nigeria is largely driven by global oil price changes, logistics challenges, and Nigeria\u2019s past reliance on fuel imports.<\/p>\n
Speaking on the issue in an exclusive interview with DAILY POST on Friday, Ahmad said oil prices often rise or fluctuate due to several factors affecting the global market and the cost of production.<\/p>\n
According to him, one of the major reasons is the fluctuation in the price of crude oil at the international level.<\/p>\n
\u201cOil prices are increasing or fluctuating due to so many factors. For example, global oil price fluctuates whenever there is an increase in the price of crude oil in the global market,\u201d he said.<\/p>\n
He explained that when the price of crude oil increases globally, it automatically affects the cost of producing fuel because crude oil is the main raw material used by refineries.<\/p>\n
\u201cSo definitely this will affect the price of the crude, which is the input that is being used by refineries to produce the fuel. And whenever there is an increase in this input price, so definitely the output price, which is the fuel, will increase,\u201d Ahmad added.<\/p>\n
The lecturer also pointed to logistics challenges as another factor influencing fuel prices.<\/p>\n
He said refineries can be affected by the cost of transporting crude oil as well as the expenses involved in processing it.<\/p>\n
\u201cThen secondly, we have the issue of logistics. So refineries are affected. They are affected by logistics, maybe in the supply of the crude oil or probably in the processing of the crude oil,\u201d he explained.<\/p>\n
According to him, any change in logistics or production costs within refineries will eventually reflect in the price consumers pay for fuel.<\/p>\n
\u201cSo whenever there are changes in the logistic cost or the changes in the cost of production within the refinery, this will definitely affect the fuel price,\u201d he said.<\/p>\n
Ahmad further noted that reliance on imported petroleum products also plays a major role in shaping fuel prices in the country, especially in the past.<\/p>\n
\u201cThen lastly, there is reliance on imported price. Whenever a country relies on imported price, like Nigeria before, we heavily relied or we totally relied on import,\u201d he said.<\/p>\n
He explained that changes in the exchange rate between the naira and the dollar also affect fuel prices in such situations.<\/p>\n
\u201cSo whenever there is a change in exchange rate, maybe naira to dollar or dollar to naira in favour of dollar, so definitely this will affect the price of fuel in the country,\u201d he stated.<\/p>\n
However, Ahmad said the current rise in fuel prices is mainly linked to the increase in global crude oil prices caused by ongoing international tension.<\/p>\n
\u201cBut currently, this increase is as a result of export. As a result of a high in the price of the global price of the crude oil in the global market, due to the issue of war between America, Israel and Iran,\u201d he said.<\/p>\n
According to him, the conflict has disrupted the supply of crude oil in some regions, leading to scarcity in the global market.<\/p>\n
\u201cWhich cuts the supply of this crude oil in some certain region. And definitely this will lead to scarcity and this scarcity will lead to increase in price,\u201d Ahmad explained.<\/p>\n
He warned that the situation may persist unless the supply disruption is resolved.<\/p>\n
\u201cAnd this will keep going off unless if there is the solution to this scarcity,\u201dhe added.<\/p>\n
Global oil crisis now human rights concern for Nigerians \u2013 Bakoji<\/p>\n
Also speaking, the Country Director of The International Human Rights Commission \u2013 Relief Fund Trust (IHRC\u2013RFT), Abdullahi Bakoji Adamu, has said the rising fuel prices in Nigeria has now become a human rights concern, warning that the situation is affecting the livelihoods and welfare of ordinary citizens.<\/p>\n
Adamu made the remarks in an exclusive interview with DAILY POST, where he explained that the sharp increase in fuel prices is largely linked to disruptions in global oil supply caused by the ongoing conflict involving the United States, Israel and Iran.<\/p>\n
According to him, tension in the Middle East has made movement through the Strait of Hormuz, one of the world\u2019s most important oil routes, extremely risky for many oil shipments.<\/p>\n
\u201cThe ongoing conflict involving the U.S., Israel and Iran has effectively blocked or made passage through the Strait of Hormuz, the main route for a large portion of the world\u2019s crude oil, extremely risky,\u201d he said.<\/p>\n
The Strait of Hormuz is considered a major channel for global oil transportation, with about one-fifth of the world\u2019s oil supply passing through it. Any disruption along the route can therefore have a direct impact on global energy prices.<\/p>\n
Adamu noted that the crisis has created uncertainty in the international oil market, forcing prices to rise sharply.<\/p>\n
\u201cFrom a security and human rights perspective, the sharp rise in fuel prices in Nigeria is being driven primarily by disruptions in global oil supply,\u201d he said.<\/p>\n
He explained that before the current crisis, crude prices were much lower but have now risen significantly due to supply risks.<\/p>\n
\u201cBefore this crisis, oil was trading roughly between $30 and $60 per barrel, but with these supply risks, prices have surged to over $80 per barrel,\u201d he stated.<\/p>\n
The analyst also warned that if the conflict continues, oil prices could increase further.<\/p>\n
\u201cProjections suggest prices could reach between $90 and $100 per barrel if the situation persists,\u201d he added.<\/p>\n
Adamu pointed out that Nigeria is particularly affected because the country still imports a large portion of its refined fuel.<\/p>\n
\u201cFor Nigeria, which still imports a large portion of its refined fuel, this global supply shock directly translates into higher pump prices,\u201d he explained.<\/p>\n
He stressed that the impact of rising fuel prices goes beyond the economy and directly affects the daily lives of citizens.<\/p>\n
\u201cThe impact is not just economic. Rising fuel prices hurt ordinary Nigerians by increasing transportation and food costs, worsening poverty, and putting pressure on livelihoods,\u201d he said.<\/p>\n
The analyst further warned that the situation could also create security concerns if the rising cost of living continues unchecked.<\/p>\n
\u201cThis is also a security concern because when the cost of living rises sharply, it can lead to social unrest,\u201d he<\/p>\n
Adamu described the situation as a human rights issue.<\/p>\n
He noted that access to affordable energy is closely tied to people\u2019s ability to maintain a decent standard of living.<\/p>\n
Residents, commercial riders lament sudden increase<\/p>\n
In Kano, DAILY POST observed that the price of petrol has risen by about N100 across several filling stations in the state.<\/p>\n
A tricycle rider boarded in Mariri, Kabir Sule, told DAILY POST that he bought petrol at a very high price on Thursday evening.<\/p>\n
\u201cYesterday evening I bought fuel for N980 per litre. Before now, we were buying it for around N880,\u201d he said.<\/p>\n
Another resident, Abdulaziz Shuaibu, also confirmed the increase, noting that the price had jumped within a short period.<\/p>\n
\u201cI bought fuel for N980. Previously, we were buying it for N880. The increase is soon going to reflect on our daily services,\u201d he said.<\/p>\n
Another resident Yusuf Abdulkareem revealed that he bought fuel at N963.<\/p>\n","protected":false},"excerpt":{"rendered":"
A senior lecturer at Hussaini Adamu Polytechnic, Kazaure, Dr. Tijjani Ahmad, has explained that the recent increase in fuel prices in Nigeria is largely driven by global oil price changes, logistics challenges, and Nigeria\u2019s past reliance on fuel imports. Speaking on the issue in an exclusive interview with DAILY POST on Friday, Ahmad said oil […]<\/p>\n","protected":false},"author":84,"featured_media":196645,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[24,15,29],"tags":[],"class_list":["post-196646","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-all-news","category-economy","category-head-lines"],"yoast_head":"\n