Dons Eze
FUEL PRICE SLASH: WE WON’T REDUCE FARES – TRANSPORTERS
Road transport operators in Nigeria have ruled out the possibility of reducing transport fares as a result of the further cut in the prices of petrol by Dangote Refinery and the Nigerian National Petroleum Company Limited (NNPCL).
Some of the transporters and leaders of the National Union of Road Transport Workers (NURTW) told LEADERSHIP Weekend that they would not reduce the fares because of the high cost of vehicle maintenance and other related expenses.
In their competition for a fair share of the market, Dangote Refinery and NNPCL recently reduced the pump price of a litre of Premium Motor Spirit (petrol) to N825 and N860 respectively.
When LEADERSHIP Weekend asked some transporters in Kano whether they would reduce fares because of the lower fuel prices, the organising secretary of NURTW, Yushu’a Haruna, said the union had no plans to reduce transport fares because of the reduction of PMS pump price at some filling stations.
He said the reduction in fuel price was very insignificant to push for a cut in transport fares as they still battle to replace or buy spare parts at exorbitant rates.
His National Association of Road Transport Owners (NARTO) counterpart, Ado Inuwa Yakasai, admitted that both Dangote and NNPCL have reduced the prices of fuel per litre but the prices of a new car and spare parts were still on the high side.
He said some years ago, spare parts such as a new tyre cost between N15,000 and N20,000 but sells for N68,000 or more while an engine of a Sharon car is about N1.5 million, which is very expensive for individuals who acquired vehicles on hire purchase basis to cope with.
They both lamented the long queues at the fuel stations where the prices are reduced which most times they are not ready to join in order to meet up with their schedule of trips.
Yakasai said under such conditions, they have no option than buying from fuel stations with higher pump prices. According to them, the only way to reduce fares is when there is a significant reduction in fuel price and the cost of spare parts.
A passenger at the Kano Line bus stop, Dr Aminu Galandanchi, lamented that despite the reduction of fuel price, it had not been reflected on fares which is the natural thing to do.
In Lagos State, the reduction in the price of PMS has not translated to a reduction in transport fares.
A passenger, Mudashiru Kilani, said there were no changes in fares because he still pays N300 from Egbeda to Ikeja which used to be N100.
Another passenger, Debo Adewale, said he paid N200 from Ikeja to Oshodi and N300 from Oshodi back to Ikeja, which ordinarily should be N100. He questioned the disparity, asking, “Is it not the same distance?”
One of the transporters in the state, who wished to remain anonymous, said, “Yes, fuel prices are reducing, but the cost of vehicle maintenance is not dropping. Additionally, the prices are not consistent across all stations, with only MRS and NNPCL reflecting the changes. Once these changes have spread more widely, I believe, we will consider a downward price review.
“But remember, the cost of maintenance has not decreased. Mechanics still charge high rates, and the spare parts sellers at Ladipo Market are not reducing their prices. These also affect how we charge for our services,” he said.
A former chairman of Airport Shuttle Union, Austin Orowe, expressed his concerns about the recent changes in petrol prices, saying many petrol stations haven’t reduced the price of petrol.
“Only MRS and NNPC are selling at N825 and N860. But other stations are still selling above N900. For instance, Conoil is still selling at N925. So, until the price gets below N500, you won’t see changes. Moreover, the price of fuel is not the only factor determining transport fares. Spare parts are also a factor. How much were they selling tyres before, and how much are they now? Talk about brake pads as well, how much are they?
“Most of the passengers have cars. They know how much it takes to maintain them that is why they are opting for public vehicles. So, it’s not just about fuel prices; it’s also about maintenance. I could get car service for N10,000 before, but now it’s above N25,000.
“It’s only MRS that sells cheap fuel. And you also meet long queues, not because there is no fuel but because of the quality and reduced price. But see Conoil, it’s still selling above N900. So, the rest of the stations have yet to bring down their prices,” he said.
In Kaduna metropolis, some commercial drivers have said they would not reduce fares despite the slash of fuel prices by NNPCL and Dangote Refinery.
At Television and Command Motor Parks in Kaduna South, the fares remained the same.
One of the transport company managers at Command Junction, Sam Tanko, said a passenger pays N12,000 from Kaduna to Makurdi, Benue State.
He said, “We are still charging N12,000 per passenger from Kaduna to Makurdi. From Abuja to Makurdi, there are three toll gates and drivers are paying money on the road because it is not toll free.”
A passenger at Benue Links, who identified himself as Jerry Teryima, appealed to transport companies to reduce the fares to conform with the recent price adjustment.
He said, “If there is a fuel price increment, the transport companies and drivers always increase fares but when there is a decrease, they will continue to exploit Nigerians with higher fares.”
In Kogi State, a leader of NURTW in Lokoja, Ovoro Ovurevu Abdul, said the reduction in fuel price was insignificant to warrant any reduction in fares.
Another official of the union, Abdulraman Idris, collaborated the position.
Idris said, “You can see that the reduction in the prices of fuel is so small. This is not enough yet to warrant any reduction in the fares. We are still appealing to them to do a major reduction so that we can also bring down our fares. We are not happy because we hardly get passengers these days due to the high fares.”
But some passengers at the Lokoja Mega Park in Felele, urged the transporters to reduce their fare no matter how insignificant in response to the slash in fuel prices.
One of the passengers, Mr Ademu Umoru, said if there was a hike in pump prices, the drivers would increase the fares, stressing that the opposite is the case when there is a reduction.
But in Anambra State, where a litre of petrol has dropped from N1,600 to between N990 and N970 in Awka, the capital, transporters have reduced both intra and inter-state fares.
A check by our correspondent showed that the fares from Awka to Abuja had gone down from N50,000 and N60,000 to between N35,000 and N45,500 depending on the transport company.
Similarly, the fare from Awka to Lagos which was between N40,000 and N50,000 has been reduced to N30,000 or N35,000. These are charged by operators of Sienna and Hummer buses.
At Chisco Transport Company, which earlier charged between N50,000 and N60,000 from Awka to Abuja, the fare has been slashed to N45,500 while Awka to Lagos has been reduced from N40,000 and N50,000 to N35,000.
Similarly, Anambra Comfort Line which used to charge N45,000 from Awka to Abuja now collects N35,000. It also reduced Awka to Lagos route from N40,000 to N30,000.
Another transport firm, God Is Good (GIG) has also reduced its fare to Abuja to N38,500, and that of Lagos to N33,500 instead N50,000 and N45,000 respectively.
The reduction in transport fare was also noticed in fares within the state. Sunny Star and Ekwulobia Urban Mass Transit companies have slashed their charges.
Earlier, Sunny Star charged N1,500 from Awka to Onitsha but slashed it to N1,200; Awka to Nnewi from N2,300 to N2,000 by shuttle bus. Ekwulobia Urban Mass Transit which charged N2,000 from Awka to Nnewi now takes N1,500, while Awka to Onitsha is now N1,200 as against N1,500.
The managers of Sunny Star Motors and Ekwulobia Urban Mass Transit in Awka, Comrade Kingsley Emeka and Mr Ifeanyi Ofomah respectively, told LEADERSHIP Weekend that the reduction in fares was due to the slash in the pump price of PMS.
