Sir: While I was in Kano on a social visit, I overheard a conversation that Uber drivers in Abuja had increased the cost of commuting from the airport to the city centre to N15,000. Given the new price, I knew any time I returned to Abuja, I would have to trek home. As a university lecturer, there is no way I could afford such a price.
The abrupt removal of the fuel subsidy by President, Ahmed Bola Tinubu on the floor of his inauguration, has exacerbated the economic difficulties Nigerians have been battling for years. The president has made the announcement and it is already being implemented religiously. However, as Nigerians continue to groan, we need to realize that sustaining the subsidy will not only cripple the economy but will also continue to keep us deeply indebted.
Initially, I wanted to frown at the fact that the removal was carried out in the absence of an economic team which ought to help in recommending strategies that will cushion its effects, but because Tinubu is an acclaimed strategist, I believe that a lot of thoughts and strategies would have been considered or are currently being considered.
But how would the ordinary Nigerians survive the pangs the removal is coming with? They have been appealing for the implementation of the minimum wage, but the state governors have been reluctant about it. The reality is that some states can’t pay. But even if the minimum wage is implemented, it won’t take a man who has a family anywhere.
According to the new price template, Lagos State has the lowest pump price at N488 per litre, while Maiduguri and Damaturu have the highest at N577 per litre.
Many experts and agencies have been pushing for the removal of the fuel subsidy for years, one of which is the Nigeria Extractive Industries Transparency Initiative, NEITI. It has been consistent with her call since 2006, saying it was concerned about the huge financial burden it places on the growth of the Nigerian economy.
An estimated $74.39 billion which translates to N13.69 trillion was spent on subsidies between 2005 and 2021. This figure is outrageous. Nevertheless, for the fuel subsidy removal to have positive impact, there is an urgent need to strengthen the implementation of the Petroleum Industry Act (PIA). Currently, the implementation isn’t total but halfway.
There is also a need to kick-start people-oriented welfare programmes to cushion the pangs. In doing it, attention must be given to the poor and vulnerable. The government should prioritize the rehabilitation of the nation’s four refineries. Nigerians do not know the amount of PMS they consume daily. We ought to know. Additionally, the government should enforce stringent sanctions for criminal activities in the sector and conduct appropriate stakeholder consultations, engagements, and enlightenment.
To my fellow compatriots, we must all come together and fix our country as this is the only way we can all beat our chest and be proud of what we have.
•Gidado Yushau Shuaib,
Baze University Abuja.