A recent survey conducted by Nairametrics following President Bola Tinubu’s announcement on May 29 declaring an end to fuel subsidies has revealed a notable decline in the sales of gasoline generator sets in Nigeria.
The survey, which covered major generator markets in Lagos, reported that all the generator dealers experienced a significant drop in sales, with most of them unable to sell more than half of their usual stock over the past month.
The direct correlation between this sudden sales slump and the recent increase in fuel prices has been a cause for concern among market participants.
Paul Dike, a dealer at the electrical section of Alaba International Market, pointed out that the spike in fuel prices has directly affected sales. In response, even shop owners in the Alaba market have resorted to pooling their resources to generate electricity from big diesel generators, aiming to cut costs.
He indicated that most of the generators imported by Alaba merchants are now shipped to northern Nigeria or neighboring West African countries.
