…Transport, feeding, school fees, others heavily impacted
Nigerians are worried that the new hike in petrol pump price from N568 to N897 would trigger widespread price increases, and potentially reverse the reported recent ease in inflation rate.
As schools are set to resume on Monday, September 9, amidst the recent increase in the petrol pump price, it is obviously expected that transport fares will rise. And as usual, there would be a spiral surge in other daily needs, especially school needs and fees.
Nigerians who are already burdened with inflation of goods and services, were recently inundated with the news of petrol price hike, when many thought the commencement of the Dangote Refinery to lift PMS would cushion the negative effects of prevailing economic crunch.
Parents are left in limbo, with just the minimum wage Act 2024 passed, and with the government agreeing to pay N70,000 without fuel price increase, the government agency decides to tweak the agreement.
This is more disturbing because with a salary of N70,000 per month at a time when petrol pump price is about N900, the hardship is certainly getting worse.
With the recent decision by the Nigerian National Petroleum Company Limited (NNPCL) to adjust petrol pump price at N897 per litre from N197, it was in May 2023 (355 percent) increase, and many independent retail stations selling at N997, N1,018, and N1,300 per litre according to location across the country, the Nigerian parent is doomed.
According to the National Bureau of Statistics (NBS), the most immediate effect of the fuel price hike is on inflation. The headline inflation rate rose to 34.19 percent in June 2024, up from 33.95 percent in May.
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With higher fuel prices, transportation cost is expected to surge, leading to increased prices for goods and services across the board. This will in turn further exacerbated existing inflationary pressures, potentially driving inflation rates even higher and making everyday essentials less affordable for Nigerians.
Michael Orji, a civil servant decried the petrol pump price hike especially at the eve of school resumption.
“To be honest, as a father, I’m groaning within me. It is an ugly situation to narrate, the price of food is on the high side which the children cannot do without.
“In fact, my blood pressure has gone high because what is available cannot meet the family needs. Even while trying to cut my coat according to size, the fuel hike set in and worsen the whole thing,” he said.
Orji further revealed that he has decided to withdraw his children from using the school bus because he can no longer cope with the bills.
“As it’s I have decided that my children will no longer go to school with school bus this time around, they will use their legs to go their various school,” he said.
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According to the father of five children, he paid N40,000 each for school bus last year, and with the recent development, the school has increased the fare to N65,000 and may even still increase as the fuel saga continues.
Patience Adebayo, a mother of two said the new pump price of petrol has not helped issues with her and other parents in the face of school resumption.
“It’s not easy, the price of things has gone up rather astronomically. Though I don’t need school bus or transportation for my children as the fuel price is increased, but the cost of beverages, eggs and other food items is high.
“A roll of Millo is now N1,700 against N1,400 (21.4 percent), a roll of Dano milk is now N1,200, against N1,000 (20 percent), while a bucket of beans sells for N11,500 against N9,000 (28 percent rise), and a crate of eggs is N4,800 against N3,300 (46 percent) increase,” she said.
For Shola Majiyagbe, a parent, it has been his habit to get all the materials like bags, lunch boxes, new uniforms, and shoes among others ready immediately after vacation so that it won’t become a burden when they resume.
“The only thing I face is how to settle their school fees. My children’s school is a stone-thrown to our house. Therefore, the petrol pump price won’t affect me in taking them to school.
“However, it affects me in going to my office now. Formerly, I fueled my car with N7,000 on a daily basis. Recently, I spend N9,500 (36 percent increase) on fuel daily,” he said.
Uguru Jonathan complained that in the face of resumption, he got a notification from his child’s school stating that fee has been increased.
“My daughter’s school fees has been increased from N150,000 to N250,000. I don’t know their criteria for the increase but I think factoring the recent fuel hike could have engineered that,” he said.
With over 40 percent of Nigerians living below the poverty line, according to the World Bank, this increase will likely push more people into poverty as they struggle to afford basic necessities.
