Negative effects of fuel scarcity in Nigeria

Posted by Chidinma on Monday July 6, 2015 at 14:40:43:

A lot of people will not forget the fuel scarcity incident in a hurry, although it seems now that the event is a thing of the past; the scarcity period is the worst Nigeria has experienced since its 55 years history. If not for the quick intervention of the government and oil marketers, the Nigerian economy would have come to a screeching stop. The cause of the scarcity was because of the delay in the payment of the agreed subsidy to Oil Marketers.

Some of the negative effects of the fuel scarcity in Nigeria include;

• High Rise In Transportation Fare: Due to the fuel scarcity and the fact that fuel was sold at over N500 for a litre in some locations, the cost of Transportation fare was almost tripled in most places. T-fare that would have cost N50 on a normal day was charged as high as N100 to N150 during the fuel scarcity period.

• Disruption Of telecommunication services: Most Companies and Organizations that operate in Nigeria run their services with Generating sets that require fuel to power due to the epileptic power situation in Nigeria; and most of their services were disrupted due to that fuel was so scarce and very expensive when found. During that period, almost all the banks sent out messages to their customers that they will close by 1 PM instead of 4 PM because of the fuel scarcity, I personal got an SMS from my Network Service Provider that they may discontinue with their Services if the fuel scarcity persists.

• Inflation: It also leads to inflation in the prices of other goods and services and this makes life harder for the average Nigerian as he still has to spend more despite his reducing income.