Sierra Leone’s situation is about seeing tomorrow as lives remain on the knife edge especially for the have-nots and the low-income earners. Fears have gripped the public owing to uncontrollable price hikes for goods and services. The price of petroleum which has suddenly jumped to Le15, 000 a litre is expected to reach either Le18, 000 or 20, 000 almost immediately.
Fleets of vehicles, tricycles and motor cycles are seen at almost every filling station to stock on their stockpiles while importers are try to hoard. It is a well-established economic principle that consumers and suppliers have different economic behaviours especially in times of crisis.
The former always strives to maximise satisfaction while the latter maximises profit.
An expectation of a future rise in price will lead suppliers to withhold their goods or services and wait for the future while consumers will buy more of the goods to save for a rainy day. These competitive forces create a strange trend for the market. This is the situation taking place in filling stations. The drives wanted more while the suppliers are willing to give out less.
The shortage of fuel has worsened hardship which one could refer to as the greatest in the country’s recent past. The highways have gone empty in a nation that depends on wheels for transportation. Constant power outages worsen an already polarised situation. It is a real catch-22 situation as no one knows what will happen next if situation persists.
The fuel crisis has shown no sign of receding with commuters from distant communities being the hardest-hit. Along Kissy Road in Freetown, the population of those who trekked has tremendously tripled. Fresh difficulties emerge when they reach Up-gun ready to get vehicles heading for the distant east.
The cries of children on women’s back during the long trod are high-pitched since few vehicles are seen on the streets. The available few are ready to exploit commuters in the best way possible. Knowing fully well that the demand for transportation is inelastic, drivers and commercial motorist will not hesitate to charge high prices.
As the situation continues, Sierra Leoneans expect government to come out clean and assure the public about steps they have taken to mitigate the impact. Since the fuel crisis hit the town, no assurance of a backstop has come from any government official causing communication from the grapevine to flourish. Government has been trapped into a dangerous situation. It has reached crossroads with little evidence that it knows exactly what must be done. It is no question of maverick for one to think that way.
During campaigns in 2018, SLPP (Sierra Leone People’s Party) had been pointing accusing fingers at the former government that the tax concessions and subsidies were mere wastages.
They assured the people of Sierra Leone that the country would rise if tax holidays are cut down. On several of his interviews granted to the local and international press, the President was certain to run the country smoothly if leakages are blocked. The leakages have been stopped, but the result remains appalling. Suffering and grumbling is too much spelling a tough moment for Bio. It is not clear whether government would quickly get out of the economic quagmire.
One would say the impact of the Russian-Ukraine crisis is very much prominent here, but government has failed before the crisis. To many Sierra Leoneans, the current crisis going on in Ukraine should not be an excuse for government.
What goes around comes around. When APC faced the twin shocks (the Ebola outbreak and the fall of the Iron Ore price) between 2014 and 2016, SLPP was highly intolerant to any excuse of a global crisis. They instead call on the then APC government to fix the situation. SLPP made big political gains leading to APC’s exit from power in 2018. Today, a similar situation is here. A war taking place thousands of miles away from home has disrupted normal life here with government’s hands tied down. Government however is urged to take urgent action to manage the situation before it becomes a crisis.
A local activist who could reveal not his name has told this press that it would be difficult for government to come in like that. The fuel situation, he says, has always been a private sector issue. “Government has less control over the situation,” he said. It is a matter of patriotism for fuel importers to look at the country’s situation, and lend a helping hand.
The fuel, he said, was bought at a time no one dreamt of the Russian-Ukraine crisis adding that there is no way they could sell the fuel at such fabulous prices. He assured this press that it would be proper for civil society activists to advocate a positive change of attitude towards the current crises.
A commercial motorist, Mohamed Kamara holds contrary views arguing that government must offer tax holidays to the importers so that the price of fuel would come down. He cited former President Ernest Bai Koroma as a very good example of a leader who cared for his people. “When fuel price was about to shoot up, President Koroma gave money to the oil companies to keep the prices low,” Kamara recounted.
To the drivers and commercial motorists, the president’s move was the best. But, it was never the best for the international community. In his handing over notes of 12th May, 2018, the former President made it clear that his refusal to go by the IMF’s advice to cut down fuel subsidies made him an enemy to them.
But, the former President chose the enmity of the international community in protection of his people. It was in the same note that the former President advised President Bio not go the IMF way if he wanted to be at ease with his people. Bio who is bent on serving the international community would not hesitate to accept any advice that comes from the international financial institutions. He hopes to get solace if he ignores his people and go closer to the international community. But, signs are clear that the President has been shunned by the international community.