Gasoline prices are rising in Nigeria and with them the anger of Nigerians, since the state ended a fuel subsidy system, in an attempt to replenish its coffers, emptied by the Covid-19 pandemic.

In recent days, the price of gasoline at the pump has reached 162 naira per liter (0.36 euros), an increase of nearly 15%, as a result of the deregulation wanted by the Nigerian government.

Although these prices seem low compared to tariffs in other countries, it is a blow to Nigerian consumers who consider cheap fuel to be one of their few privileges as citizens of Africa's largest crude producer, undermined by poverty and corruption.

"We feel it seriously," complains John Kayode, an engineer who comes to fill the tank of his car in the center of Lagos, "fuel is a basic necessity. This price increase affects all sectors of the economy."

People in Africa's most populous country – nearly half of whose 200 million people live below the poverty line – have enjoyed artificially low pump prices for years.

Nigeria has only a tiny amount of refining capacity, forcing the authorities to subsidize imported fuel with billions of dollars.

But in the face of the global recession triggered by the novel coronavirus, including the collapse in recent months in crude oil prices that has deprived it of a huge share of its revenues, Nigeria has been forced to reverse these costly subsidies.

At the same time, the government also announced an increase in electricity tariffs, which will double from N33 to more than N60 per kilowatt.

President Muhammadu Buhari on Monday defended the increases, "a crucial decision" in light of the collapse in oil revenues.

"There is no provision for fuel subsidies in the revised state budget for 2020, simply because we cannot afford it if we want to have the necessary funds for health, education and other social services," he declared. choice".

- "An affront" -

But the move sparked anger among the population, which is already struggling with the economic slump and inflation.

Ayuba Wabba, the president of the Nigerian Labour Congress (NLC) union, spoke of "an affront to the Nigerian people who are bearing the heavy burden of the Covid-19 pandemic." and promises that the unions will resist this "umpteenth attempt to impoverish the mass of workers".

For its part, the NGO Serap is considering legal action against a measure that "will put lives at risk and further aggravate poverty and inequalities already amplified by the pandemic".

On the streets of Lagos, Liliana Ebosele, a factory worker, is calling for lower prices "to allow the masses to survive."

The fuel boom has also hurt the income of Chinedu Egbunike, a 41-year-old bus driver."I earn less money since passengers are not willing to pay more to cushion the rise," he told AFP.

- "Necessary adjustments" -

But an end to costly state interventionism has long been demanded by international donors, who have again put pressure this year on authorities in urgent need of funds to close their budgets.

For the economist Michael Famoroti, this system of subsidies - reputed to be marked by corruption - was no longer viable.

"When global crude oil prices collapsed and Covid appeared, the Nigerian government was experiencing cash flow difficulties. As in other countries, he had to find money to revive the economy."

The distributors who manage the country's gas stations also applaud the end of the price control, which was cutting back on their margins.

"We have been fighting for deregulation of the sector for years," said Tunji Oyebanji, president of the Nigeria Fuel Distributors Association.

It ensures that the interplay of supply and demand, as well as fair competition on the market, will eventually allow an adjustment of prices.

"The president's decision is a first step in the right direction. Some adjustments are still needed for this measure to bear fruit," he said.