BUSINESS
Fuel Hike: FCT Motorists, Commuters Groan as Fares Rise Again
Many motorists, commuters and road transport workers in the Federal Capital Territory (FCT) have expressed concern as petrol prices rise again, pushing up transport fares and household expenses.
The latest increase followed Dangote Petroleum Refinery’s fourth upward review of its petrol gantry price since Aug.
21.The refinery raised the price from N1,265 to N1,350 per litre, an N85 increase, representing 6.
7 per cent.The new price, effective Sept. 12, has triggered fresh pump-price adjustments across filling stations in the FCT.
Checks in Abuja showed that MRS outlets were selling petrol at N1,395 per litre, while NIPCO outlets were selling at N1,430 and Mobil outlets at N1,400.
However, other outlets were selling the product at prices approaching N1,450 per litre, depending on location and prevailing supply costs.
The development had raised concerns among vehicle owners and commuters, with transport operators saying increased fuel costs were putting additional pressure on their businesses.
Udoh Daniel, a motorist in Abuja, described the latest increase as unbearable, saying the rising price of petrol was affecting household finances.
“Imagine buying petrol at N1,414 per litre. My cousin told me that it is selling for N1,450 presently in Dawaki,” Daniel said.
He said the continuous increases were making it increasingly difficult for motorists to maintain their vehicles and meet other financial obligations.
Favour Adeniji, another Abuja resident, said the latest increase was coming at a difficult period for families following the resumption of academic activities.
“Our children have just returned to school, and we are struggling to pay their fees when the petrol price increase was slammed on us.
“This is ill-timed. The government and other people responsible for this are not considerate at all because it has created additional pressure,” she said.
A civil servant, Ali Salisu, also expressed concern over the effect of rising petrol prices on workers whose salaries had not increased in line with the cost of living.
“Salaries are not increasing, yet the price of petrol keeps rising and pushing up the price of everything else.
“This administration is pushing workers and ordinary Nigerians to the edge.
“There is a popular saying that if you chase a goat to a brick wall, it will have no choice but to hit back at you.
“I hope the government is not gradually pushing Nigerians to their limit,” Salisu said.
For commuters, the impact is being felt directly through higher fares on some routes within Abuja and its suburbs.
Commuters from satellite towns and other surrounding communities going to the city centre now spend more on daily transportation than they did before the latest petrol increase.
Commuters travelling from the Masaka-New Nyanya-Ado-One Man Village axis to the city centre said fares had increased from N1,000 to N1,200.
Similarly, commuters from Kubwa, a satellite town to Federal Secretariat, Wuse and Berger now pay N1200, instead of N1000
The additional N200 per trip could translate into thousands of naira in extra monthly expenditure for workers who commute to Abuja every weekday.
Transport workers have also expressed concern that higher fuel costs are reducing their daily earnings because a larger proportion of their revenue is now spent on petrol.
A taxi driver, Salem Ogbe, said operators were caught between increasing fares to cover their expenses and protecting passengers from additional financial pressure.
“I am tired of this job because there is hardly any profit left,” Ogbe lamented.
He said drivers could not increase fares every time petrol prices rose because passengers were also struggling with higher living costs.
According to him, transport operators were therefore being forced to absorb part of the increase, despite the additional cost of fuelling and maintaining their vehicles.
“The situation is particularly challenging for drivers who cover long distances daily and consume significant quantities of petrol before returning home,” he said.
A private vehicle owner, Collins Ejiga, said the increase had eaten deep into his savings and was affecting his livelihood.
“When the pump price was N1,265 per litre, I was buying 50 litres for #63,250, which lasted me for a week.
“With the latest increase to N1,450, I am buying the same quantity for N72,500, which is about a N10,000 increase. The pressure is becoming unbearable,” Ejiga lamented.
Some motorists said that to mitigate the pressure, they were reducing unnecessary journeys, combining multiple errands into single trips and considering public transportation to control their monthly expenses.
Some commuters on the other hand, said they faced the difficult choice of paying higher fares, walking longer distances or waiting for cheaper means of transportation.
The increase has also raised concerns among traders and small business operators because higher transportation costs could increase the cost of moving goods from markets and distribution centres.
Some of the business owners said they had no choice but to increase the prices of their wares to cover the increased cost of transportation.
Meanwhile, economic experts had warned that increased transportation and production costs could eventually feed into the prices of food and other essential commodities.
They contended that the development could further compound the challenges faced by Nigerians who were grappling with rising living costs.
The latest adjustment is the fourth upward review of Dangote Refinery’s petrol gantry price since Aug. 21, bringing the cumulative increase to N185 within the period.
Motorists and transport operators have urged stakeholders in the petroleum sector to ensure greater stability in petrol prices to enable households and businesses to plan their finances.
For FCT residents, the concern extends beyond the price displayed at filling stations, as each increase affects the cost of commuting, household budgeting and daily economic activities.
As motorists and commuters adjust to the latest increase, transport workers say further petrol price increases could create additional pressure on fares and the already stretched finances of passengers. (NAN)
BUSINESS
UBA Scores Legal Victory in N156bn Stallion Debt Case
By Tambaya Julius, Abuja
United Bank for Africa (UBA) Plc has secured a favourable judgment in its N156 billion debt recovery case against Stallion Group, with the Federal High Court in Lagos ruling in the bank’s favour on all issues and granting the reliefs it sought.
The judgment, delivered on Friday by Justice Daniel Osiagor at the court’s Ikoyi division, upheld the appointment of a Receiver/Manager, the validity of the mortgage security and the liability of the guarantors.
The court also affirmed the receiver’s authority to take possession of the mortgaged property and seek protective orders to safeguard the bank’s interests in recovering the outstanding debt.
In its findings, the court noted that the defendants did not dispute owing UBA but challenged the amount claimed. It held that the reconciliation of accounts between the parties did not extinguish the debt or invalidate the bank’s recovery rights.
The court also dismissed objections raised by the 12th defendant, who failed to establish any ownership or other proprietary interest in the mortgaged property. It consequently ruled that the defendant’s consent was not required for the creation of the mortgage.
In another key part of the judgment, the court restrained the defendants from diverting receivables due to them from government agencies, a measure aimed at protecting the bank’s recovery interests.
The court’s decision on the guarantors’ liability also reinforces UBA’s legal position in pursuing repayment of the outstanding obligations.
The ruling highlights the enforceability of valid mortgage arrangements and the authority of duly appointed receivers to take lawful steps to protect creditors’ interests.
It also reinforces the principle that a disagreement over the amount owed does not, on its own, extinguish an established debt or prevent a creditor from pursuing lawful recovery measures.
The judgment marks a significant development in UBA’s efforts to recover its exposure to Stallion Group and safeguard the interests of the bank and its stakeholders.
Marketers Reject FG’s Plan to Cap Petrol Price
Petroleum marketers have rejected government-imposed N1,350 price caps on petrol, insisting that market forces, competition and improved distribution efficiency should determine prices in Nigeria’s deregulated downstream sector.
The Major Energies Marketers Association of Nigeria said arbitrary price caps would not address the underlying challenges in the petroleum market, advocating transparent pricing mechanisms and measures to tackle supply bottlenecks and reduce operating costs.
According to a summary of MEMAN’s third-quarter press engagement held virtually on Thursday in partnership with S&P Global Energy, the association maintained that “government arbitrary price caps are not the solution to petroleum market challenges”.
It added, “Rather than distorting market prices, the focus should be on transparent, market-driven pricing, efficient distribution and measures that address supply bottlenecks and reduce operating costs.”
The position comes a week after the Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, announced that the Federal Government was negotiating a N1,350-per-litre ceiling on petrol’s ex-gantry or landing cost, under which refiners and importers would initially absorb costs above the ceiling and recover the shortfall later when market conditions improved.
Oyedele said the proposed arrangement, which would be reviewed monthly, was designed to moderate price fluctuations rather than reintroduce the petrol subsidy removed in May 2023.
The government’s proposal followed rising petrol prices linked to international oil market disruptions and renewed pressure on households and businesses. It also announced a 30-day petrol discount at Nigerian National Petroleum Company Limited filling stations, with priority for public transport operators, as part of measures to cushion the impact of higher fuel costs.
MEMAN also called for clearer bulk supply arrangements covering product access, pricing, delivery schedules and contractual obligations, as well as improved inventory visibility, storage capacity, transport coordination and contingency planning.
The association said a well-structured market should enable competition, improve supply security and support better outcomes for consumers without relying on government-imposed price controls or broad-based fuel subsidies.
On regulation, MEMAN commended the Nigerian Midstream and Downstream Petroleum Regulatory Authority for its progress in promoting product quality, digitalising licensing, publishing useful market data and advancing measures to foster fair competition.
It further advocated non-discriminatory access to petroleum products and efficient regulatory processes, stressing the need to uphold quality standards, ensure accurate measurement and deliver the quantities customers pay for.
The engagement also examined developments in global and West African refined petroleum markets, including the need for credible regional pricing benchmarks.
S&P Global Energy highlighted how geopolitical tensions, refining disruptions and changing global supply dynamics had contributed to price volatility, particularly in middle distillates such as diesel and aviation fuel.
The presentations identified the Free on Board West Africa and STS Lomé assessments as reference points for domestically supplied and imported refined products, respectively. Greater transparency, reliable market data and wider industry adoption were described as necessary to establish a credible West African reference market.
MEMAN maintained that a sustainable petroleum market required predictable pricing arrangements, efficient supply chains and fair competition, rather than government-imposed price controls.
It added that a properly structured market should promote competition, strengthen supply security and deliver better outcomes for consumers without relying on government-imposed price controls or broad-based fuel subsidies.
The debate over the N1,350-per-litre ceiling has highlighted the tension between efforts to protect consumers from rising fuel costs and the need to maintain a commercially viable petroleum supply chain.
While a price ceiling is intended to limit how much suppliers can charge at a specified point in the distribution chain, its effect depends on the level at which it is imposed, prevailing supply costs and whether market participants can recover their operating expenses.
MEMAN’s position suggests that controlling prices without addressing the underlying costs of sourcing, transporting, storing and distributing petroleum products could leave structural market problems unresolved.
The association instead called for clearer bulk supply arrangements, predictable pricing mechanisms and improved coordination between domestic refiners and importers.
The group also said Nigeria should prioritise output from domestic refineries while allowing imports to bridge supply gaps and address disruptions.
BUSINESS
Nigeria Customs, Afreximbank Push Regional Border Modernisation
By Tambaya Julius, Abuja
The Nigeria Customs Service (NCS) and the Customs administrations of Benin and Cameroon are working with the African Export-Import Bank (Afreximbank) to modernise key border corridors and improve cross-border trade across the region.
The initiative is expected to strengthen customs operations, ease the movement of goods and support the African Continental Free Trade Area (AfCFTA).
In a statement issued in Abuja yesterday, NCS spokesperson, Abdullahi Maiwada, said the latest discussions were held at Afreximbank’s headquarters in Cairo, Egypt, on October 12.
He said the meeting followed a joint benchmarking visit to Beitbridge Border Post in Zimbabwe and technical assessments of the Mfum–Ekok and Sèmè–Kraké border corridors linking Nigeria with Cameroon and Benin.
The engagement, led by Comptroller-General of Customs Bashir Adeniyi, brought together representatives of the three Customs administrations, Afreximbank and technical partners to review the findings and identify priority areas for improvement.
According to Maiwada, the discussions focused on digital infrastructure, harmonised customs procedures, secure information exchange and capacity building to support a more coordinated approach to border management.
Participants also considered Afreximbank’s possible involvement in the next Customs Partnership for African Cooperation in Trade (C-PACT) and efforts to establish regional and continental transit-guarantee arrangements.
A key issue was the proposed Customs Declarations Exchange System (CDES), which is designed to facilitate secure information sharing among Nigeria’s B’Odogwu platform, Benin’s Customs Webb and Cameroon’s Customs Information System (CAMCIS).
Maiwada explained that the system would allow export information from one country to support the advance preparation of import-manifest information in the receiving country.
However, the receiving Customs administration would retain responsibility for validating the information, applying its national requirements, conducting risk assessments and authorising cargo clearance.
He said that while the system had undergone development and technical testing, further configuration, system integration, security checks and pilot acceptance were needed before deployment.
The assessments also revealed infrastructure and operational challenges at the two border corridors.
At Mfum–Ekok, the identified gaps included unreliable electricity, poor connectivity, inadequate information technology equipment, cybersecurity concerns, limited technical support, incomplete scanner commissioning and challenges with coordinated single-stop border processing.
At Sèmè–Kraké, the challenges included incomplete joint procedures, limited live data exchange, non-functional cargo scanners and weighing facilities, unreliable power supply, traffic congestion and inconsistent operating hours.
The assessment also found that responsibilities for maintaining shared infrastructure at the Nigeria–Benin border remained unresolved.
Maiwada said the findings highlighted the need to fix immediate operational problems while developing a properly assessed and cost long-term modernisation plan.
To advance the programme, Afreximbank proposed a two-stage process beginning with independent engineering assessments and investment-cost studies at both border posts.
This would be followed by the preparation of separate bankable project proposals for the Nigeria–Benin and Nigeria–Cameroon corridors.
The proposed process would include transaction advisory services, legal due diligence, financial modelling and the identification of suitable financing and implementation arrangements.
Afreximbank also indicated that its Project Preparation Facility could support the process, while technical partners, TMP and Bergmans Security Consultants and Supplies Limited, expressed willingness in principle to consider financing the preparatory work themselves.
Maiwada stressed that no final project cost, lending commitment, borrower designation, financing arrangement or implementation contract had been agreed upon.
He said participants nevertheless agreed on the need for direct inspections of the sites, the appointment of designated technical focal points and a clear implementation roadmap covering one, three and six months, supported by a dated action plan.
The NCS reaffirmed its commitment to working with the Customs administrations of Benin and Cameroon, Afreximbank and other partners to strengthen regional cooperation, modernise border operations and facilitate legitimate trade.
Maiwada said further engagements would focus on completing the necessary assessments, clarifying project-preparation arrangements and developing sustainable solutions for the two corridors.
He added that the initiative was expected to improve cargo visibility, streamline cross-border procedures and strengthen coordinated border management, paving the way for more efficient trade and deeper economic integration across Africa.
Business News
UBA Wins N156bn Debt Recovery Case Against Stallion Group
The Court on Friday ruled in the Bank’s favour on all issues and granted all its prayers.
United Bank for Africa (UBA) Plc has secured a significant legal victory in its debt recovery proceedings against Stallion Group, following a court judgment which upheld the Bank’s position on all issues submitted for determination.
In a sweeping decision, delivered by by Justice Daniel Osiagor of the Federal High Court sitting in Ikoyi, Lagos on Friday, the Court granted all the reliefs sought by UBA, affirming the validity of the appointment of a Receiver/Manager, the enforceability of the mortgage security and the liability of the guarantors.
The Court observed that the Defendants did not dispute the existence of their indebtedness to the Bank but challenged the amount claimed. It further held that the reconciliation of accounts between the parties did not extinguish or negate the underlying indebtedness.
In a major affirmation of UBA’s enforcement rights, the Court upheld the appointment of the Receiver/Manager and confirmed his entitlement to take possession of the mortgaged property and seek appropriate protective orders.
The Court also dismissed objections raised by the 12th Defendant, holding that it had failed to establish any proprietary rights over the mortgaged property. Consequently, its consent was not required for the creation of the mortgage, and its objections were rejected.
Significantly, the Court restrained the Defendants from diverting receivables due to them from government agencies, thereby reinforcing the Bank’s ability to protect its recovery interests.
The judgment also affirmed the liability of the guarantors, strengthening UBA’s legal position in pursuing recovery of the outstanding obligations.
The decision represents a comprehensive victory for UBA, with the Court resolving all issues in the Bank’s favour and granting all the reliefs sought.
The ruling is particularly significant for the enforcement of creditors’ rights in Nigeria, underscoring the legal validity of properly constituted security arrangements and the authority of duly appointed receivers to enforce creditors’ interests.
It also reinforces the principle that disputes over the precise amount of an outstanding debt do not, by themselves, invalidate the underlying indebtedness or prevent creditors from exercising their lawful recovery rights.
The judgment marks a major milestone in UBA’s efforts to recover its exposure to Stallion Group and safeguard the interests of the Bank and its stakeholders.


