Ordinary Nigerians and trade unionists have condemned the government for withdrawing a fuel price subsidy which has led some petrol prices to double and many filling stations to stay shut.
The BBC’s Chris Ewokor in the capital, Abuja, says Nigerians are angry at the announcement, fearing the price of many other goods will also rise.
The main trade unions have called people to prepare for a strike.
Nigeria is Africa’s biggest oil producer, but imports refined petrol.
Years of mismanagement and corruption mean it does not have the capacity to refine oil, turning it into petrol and other fuels.
Analysts say many Nigerians regard cheap fuel as the only benefit they get from the nation’s oil wealth.
Our correspondent says that many petrol stations in Abuja are closed as the owners are not sure what price they should charge.
He says there are long queues outside some filling stations.
‘Long drawn battle’
In the commercial capital, Lagos, most petrol stations are closed, while those which are open have more than doubled their prices, reports the BBC’s Tomi Oladipo in the city.
Prices have increased from 65 naira ($0.40; £0.26) per litre to at least 140 naira in filling stations are from 100 naira to at least 200 on the black market.
The government has spent more than $8bn (£5.2bn) on the subsidies in the past year and says it will use some of the money to improve infrastructure.
“Consumers are assured of adequate supply of quality products at prices that are competitive and non-exploitative and so there is no need for anyone to engage in panic buying or product hoarding,” said a government statement.
Nigeria’s two main labour organisations, the Trades Union Congress and the Nigerian Labour Congress, issued a joint statement condemning the move.
“We alert the populace to begin immediate mobilisation towards the D-Day for the commencement of strikes, street demonstrations and mass protests across the country,” the statement said.
“This promises to be a long-drawn battle; we know it is beginning, but we do not know its end or when it will end.”
“We are confident the Nigerian people will triumph,” it said.
State of emergency
Nigeria is Africa’s biggest oil producer but most of the available 2 million barrels per day are exported in an unrefined state.
The country lacks refineries and infrastructure so has to import refined products such as petrol, which is expensive.
Nigerians are heavy users of fuel, not just for cars but to power generators that many households and businesses use to cope with the country’s erratic electricity supply.
Previous attempts to end the subsidies in Nigeria have prompted industrial action and street protests.
A strike against fuel price rises in Nigeria in 2004 caused most petrol stations to close, leading to transport chaos and a thriving black market in petrol.
Correspondents say the measures just announced could add to the difficulties faced by Nigerian President Goodluck Jonathan, who declared a state of emergency on Saturday in areas hit by Islamist violence.
BBC
