Public opinion holds that fuel prices in filling stations were supposed to witness a drop although government says it has resulted in stability.

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It has been a hotly contested debate on airwaves in the nation’s political capital recently. Civil society and public opinion hold that it is already one year since crude oil prices have been plummeting in the international market, but prices in Cameroon’s filling stations remain unchanged. From 105 US (about FCFA 61, 530) in June 2014 down to below 40 US Dollars (about FCFA 23, 443) a barrel in September 2015, Cameroonians thought it was an occasion for them to witness a drop in fuel prices. Experts think that it is nothing but wishful thinking, given what government experienced when oil prices increased in the international market.

“Public opinion is wrong,” stated an expert in the Ministry of Finance who prefered not to be named. He argued that the context does not permit it. Is it a problem of ignorance on the part of customers wanting more or bad faith from civil society? The State official says; “We have the bad habit of always accusing government, forgetting that it is taxpayers who pay subsidies and not government. Government does not fabricate money.”

The explanation is that when oil prices increased in the oil market between 2010 and 2014, government continued to subsidise the sector owing to the fact that Cameroonians since 1998 were against the increase of fuel prices. And who was the loser? The country’s refinery, SONARA was pushed to the wall with repeated low turnover. Our sources explained that SONARA, the importer of crude oil recorded losses that government should compensate. By mid 2014 when the world was hit by the famous oil drop, government and SONARA needed money but the former had to settle bills to the latter. Government was therefore indebted to the refinery.

The option was to stabilise prices with government setting records straight that whether high on low crude oil prices in the international market, pump fuel prices should remain stable. The finance expert held that government is losing a lot of money sequel to the continuous payment of subsidy to the refinery for imports. He cautioned consumers to accept current pump prices.

The expert noted that the previous formula that led to the accumulation of debts to SONARA was the reason for the stabilisation of prices at filling stations even when the situation was supposed to be have changed. Money owed SONARA for the previous years is being paid and even if oil prices drop to 20 US Dollars, ( about FCFA 11, 714) the prices at the pumps will be maintained as governments strives to sustainably use its budget. “This is to ensure that SONARA recovers all the billions lost in previous years when oil prices increased and government had to subsidise fuel prices,” he stressed.

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