High Fuel Price….

What Govt. is doing to Cushion in the Economic Hardship?

By AlusineFullah

The Government of Sierra Leone, in collaboration with the Petroleum Regulatory Agency (PRA), the Ministry of Finance, the Ministry of Trade and Industry, and oil marketing companies, has reached an agreement to raise the prices of petroleum products within the country, transitioning from Nle 25 to NLe 30 per litre“During the period under review, the International oil reference prices (Plats) increased invariably though at a declining rate, however, the stronger USD/SLL has hiked the pump prices for Diesel and Kerosene. Diesel is still cross subsidized at the retail market…”

According to the press lease from PRA, it states: “Accordingly, pump prices effective 29^th August 2023 for the public are as follow: Petrol: NLe 30, Diesel: NLe 30, Kerosine: NLe 30; Fuel oil: NLe 30

Fuel price is astronomically high and it has brought a sharp thorn in the flesh of the fledging economy. Who stomach the pain? The poor people!!Moving things from the frying pan into the fire, the price of fuel constantly skyrocketing every moment and hour. Put simple, the price of petroleum products has witnessed a steady rise in recent times with ripple effects on public transportation and the cost of local products, the price of rice, the staple food, has also progressively hiked. This is coupled with an unprecedented rise in the prices of building materials, with a direct impact on housing.

Food like all commodities in Sierra Leone is transported by and large within the country by road, thus the price of food commodities is directly related to the price of fuel. As a result, high food prices in Sierra Leone have forced Sierra Leoneans to eat cheaper and less nutritious food, to eat smaller portions and less. This has caused increased levels of malnutrition, mental depression and disease, increased poverty and threats to peace, stability and social cohesion in the country. Food like all commodities in Sierra Leone is transported by and large within the country by road, thus the price of food commodities is directly related to the price of fuel.

According to Hassan Koroma, a staunch supporter from the main opposition party, APC said: “Looking at the 17 SDS goals, goal 1 focuses on no poverty. In line with that, each and every government has a key responsibility to vastly reduce economic hardship for the people. Let us forget about politics now, but let us talk about lingering hardship in this country. As a Sierra Leonean, I need to be honest here that economic hardship is rapidly growing…people are dying of this chronic hardship which has fueled by constant increased of fuel price…”

According to Councilor Mohamed Conteh (from the SLPP camp) at ward 109 told Expo Times that: “The economy hardship in Sierra Leone is a global thing. The Russian war and COVID 19 issues have put a thorn to the economic growth in Sierra Leone.

On the side of the government, in order to mitigate the lingering financial crises, in his presentation of financial year 2023, Dennis K. Vandi stated: “Mr. Speaker, Honorable Members, despite the limited fiscal space engendered by the ongoing crises, Government will continue to implement programmes and policies to mitigate the impact on the population, especially the vulnerable groups. Therefore, the 2023 Budget seeks to provide support to:

Intensify local food production and facilitate food importation to address food insecurity, especially for the most vulnerable groups;
ii. Sustain critical investments in education and health to improve human capital;
iii. Expand social safety nets to enable vulnerable people to cope with the challenging economic situation;
IV. Pursue adaptation and mitigation measures in response to climate change risks; v. promote private sector development for job creation;
VI. Contain inflation and stabilize the exchange rate to lower the cost of living; vii. Strengthen public finances and maintain sustainable debt levels; and viii. Improve governance and accountability.

Many Sierra Leoneans are still pondering and wondering whether the 2023 budget is reflecting on the common man.

This is not the first time for fuel price increment. In nexus to that, on the 1^st August, 2023 PRA released a press lease that stated: “The Government of Sierra Leone through the Petroleum Regulatory Agency (PRA), the Ministry of Finance, the Ministry of Trade and Industry and oil Marketing Companies has agreed to increase the prices of petroleum products in the country from Le22, 000 to Le25, 000. The new pump prices will be effective today 1st August 2023. Under the new adjustments, the pump prices for petrol, diesel, kerosene, and fuel oil will all be set at NLe25.00 for the public.”