SIR: Since the removal of petroleum subsidy penultimate week, Nigerians have been groaning in hardship. Transportation fares have jumped by 300%. Fears have also gripped Nigerians on likely hyperinflation from hikes in prices of goods and services. Though, the World Bank approved $800 million in palliatives to cushion the effects of subsidy removal, it seems the government is yet to work out modalities for the payment.
No doubt, the subsidy scheme is nothing but daylight robbery. It is fraught with corruption. Under the regime, some highly connected people receive billions for fuel not imported. The lack of transparency in the management of subsidy payment is what has pushed government to mull the idea of scrapping the scheme. With government spending more than 100% of its revenue for debt services, it has no option than to stop the fraudulent subsidy payments.
President Ahmed Bola Tinubu has taken the bull by the horn by removing the subsidy which his predecessors failed to do. He has promised to channel the resources into infrastructure, health and education. This plan if implemented, would go a long way towards improving the living condition of Nigerians and should be supported.
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The challenges Tinubu government will face are how to roll out the palliatives to Nigerians and how to go about reviewing the current minimum wage to reflect the realities. The organized labour had a meeting with the government representatives last week. The president has restated his commitment and promised to give Nigerians decent wages. This is good news! The million naira question begging for answer is how soon?
The transportation sector has been particularly hit by the subsidy removal. Many commuters have had to suspend their journey due to the astronomic raises in fares. In the meantime, the government should bring in buses to cushion difficulties commuters experience. There is the need for government to, in the long run, continue with train services and expand it where necessary. These buses and trains will provide cheap and affordable transportation services to Nigerians.
The NNPCL Managing Director, Mele Kyari, should match his words with actions. Kyari, recently stated two of the four refineries will be fixed this year to provide enough fuel for national consumption. He also said that another one will be revived next year, while the fourth one is expected to be completed in 2025. Indeed, this is cheering news. With Dangote’s new refinery couples with four functional national refineries, Nigerians should have cause to smile soon.
•Ibrahim Mustapha,
Pambegua, Kaduna State.