Contrary to President Bola Tinubu's declaration in his inaugural speech on Monday that fuel subsidies had been abolished, there has been a reversal of his stance.

The Asiwaju Bola Ahmed Media Centre on Monday clarified that the removal of fuel subsidies, announced by the President on Monday, will not take immediate effect, TheNiche reports.

In a statement, the Centre urged the public to refrain from panic-buying, which had ensued following the President's speech.

According to the statement, this development is not a new occurrence nor an action of the new administration. It explained that the previous administration's budget had allocated funds for fuel subsidies only for the first half of the year.

As a result, by the end of June, the government would no longer have funds to sustain the subsidy program, leading to its termination.

The unnecessary panic-buying prompted by the communication should be avoided as it will not have an immediate impact.

Furthermore, President Tinubu has expressed his intention to redirect the funds previously allocated for subsidies into investments that will alleviate the effects of their removal, particularly on the most vulnerable members of society.

These investments encompass various areas such as public infrastructure, education, healthcare, and job creation, aimed at enhancing the lives of millions of Nigerians and increasing their economic opportunities.

Meanwhile, the President's pronouncement has caused chaos nationwide.

Petroleum dealers in Ogun State have significantly increased fuel prices, with some stations selling a liter of fuel between N250 and N350. Several stations remained closed from 10 am on Monday to noon on Tuesday.

As a result, residents engaged in panic buying, leading to long queues, inflated transport fares, and increased prices for other services in Abeokuta, the state capital.

Many motorcycle and taxi drivers were unable to operate due to long queues at the few stations selling fuel, while those still operating charged exorbitant fares, citing the increased pump prices as justification.

Commuters resorted to walking part of their journey before finding transportation, while petrol stations in Akure and surrounding areas experienced long queues and increased transportation costs.

Some motorists accused fuel marketers of hoarding fuel to create artificial scarcity and drive up prices.

In Ondo State, two petrol stations were selling fuel at N220 and N250 per liter along Oba Adeshida Road. In Oba Ile area, Akure North local government area, fuel was priced at N500 per liter.

In Ikare Akoko, fuel was sold at prices ranging from N250 to N300 per liter, and transportation costs increased to N200 per drop.

Residents engaged in panic buying due to fears of further scarcity of the product.

The Chairman of IPMAN, Ore Depot in Ondo State, Shina Amoo, stated that they were monitoring the situation to determine when it would stabilize and what the next steps would be.

Amoo denied allegations of fuel hoarding by marketers, emphasizing that the product was not readily available at many stations.

He mentioned that IPMAN officials had visited petrol stations, urging them to dispense the product.

Amoo added that predicting fuel prices following the subsidy removal was challenging.

The Special Adviser to Governor Oluwarotimi Akeredolu, Doyin Odebowale, stated that the State Government was awaiting further statements from the Presidency regarding the subsidy removal.