One major dominant issue in the campaigns for the 2023 presidential election was the subsidy regime and its relevance in today’s economic outlook in Nigeria. The winner of that election, President Bola Ahmed Tinubu, like the two other leading candidates, did put Nigerians on notice that if elected, he would remove subsidy on fuel. The president believes that if fuel subsidy is not removed, the country would die economically, as there would be no money to run the affairs of the country..
True to his promise, President Tinubu, immediate after taking over the mantle of leadership, announced the removal of subsidy on petroleum products. This announcement took many by surprise as they believed that the decision was too sudden, while some described it as hasty. But for the president, the subsidy has to go as it benefitted the rich more than the poor.
If there there is any decision by any administration that has caused Nigerians hardship and desperation since the return to democracy in the last 24 years, the decision indeed occupied the number one spot. The reason is not far-fetched. The lives of the average Nigerians revolve around petrol and diesel in their day to day activities.
And while many applauded and welcomed the decision as necessary, majority, particularly the common man, condemned it and tagged it irrational, as they believed that they are the ones to bear the brunt, as the ‘richmen’ can always afford to buy fuel at any price.
No doubt, the decision has seen the prices of goods and services rise astronomically, making lives unbearable to an average Nigerian. As it stands, the elimination of fuel subsidy brings both challenges and opportunities. The withdrawal of subsidy has led to a 150 percent to 200 percent increase as fuel now sells for between N500 – N600 across the country.
The implication of this is that a small and medium-scale enterprises are facing difficulties in accessing affordable power as supply from the national grid is erratic and, in most cases, non-existent. Another fall out of the removal is the astronomical hike in transport fares and the rise in cost of food items across the country,
As a measure to cushion the effects of the hardship Nigerians face every day, the Federal Government, among others, announced N5bn palliative for each state, including the Federal Capital Territory, among other steps.
It is often said that leadership is about solving problems and not succumbing to challenges. Governor Dapo Abiodun of Ogun State is one man who always thinks ahead and maps out strategies in dealing with emerging situations. Like Peter Drucker, an Austrian American Management Consultant, Educator and Author, put it, “leadership is not about making speeches or being liked. Leadership is defined by results and not attributes.”
Abiodun, over the last four years, has constantly demonstrated capacity and foresight in directing the affairs of the Gateway State and this can be seen when he and his team about a year, quietly, strategically and proactively formulated the Ogun State Energy Transition Policy. This policy seeks to deploy the use of Compressed Natural Gas (CNG) to fuel mass transit buses and e-mobility for motorcycles and tricycles long before the national government thinker with the idea.
What this implies is that Abiodun is a man who apart from being a player in the oil industry, also understands the politics and economic dynamics associated with the sector and had clearly anticipated the sudden and unavoidable deregulation of the downstream sector and fuel subsidy removal.
Not to be caught unawares and being a forward looking government, the Ogun State Government under the leadership of Governor Abiodun, four days to the removal of subsidy on fuel, held a meeting with labour leaders on how best to better the lot of workers. The fall out of the meeting led to the rolling out of various palliatives, including payment of N10,000 as transport allowance to all categories of public servants and pensioners with effect from July 2023. The government also approved hazard allowance for all health and medical personnel in the state, while N25,000 was approved as peculiar allowance for public servants in the state;
Apart from the above steps taken to cushion the effects of fuel subsidy removal, Governor Abiodun, on Monday October 30, in Abeokuta, recorded another first by being the only governor in the country to unveil the first set of Compressed Natural Gas (CNG) Mass Transit Buses with an assurance that the introduction of the gas powered Mass Transit Buses would revolutionize the entire transport sector and reduce the hardship Nigerians are experiencing on daily basis as a result of the removal of fuel subsidy.
Governor Abiodun, who performed the unveiling in the presence of who is who in the State, including politicians, traditional rulers, captains of industry, stakeholders in the transportation sector, labour leaders, students, among others, told the people that his administration conceived the idea even before the fuel subsidy was removed because his government was desirous of a cost-effective transportation system with little impact on the environment.
The man who has always emphasized the need for the State to go green, said: “This has become very imperative considering the urgent need to provide a cleaner environment and to mitigate the effects of climate change which we are all seeing to be real and which principally is caused by the use of fossil fuel, predominantly diesel and petrol.
“As your governor, I am extremely delighted that we are able to commence the implementation of this laudable initiative and I am bold to say that we come tops yet again as the first state in the country to record this feat which is another successful Public Private sector partnership with our partner called Spiro, a company that has successfully deplored this in other parts of the West Africa sub-region.”
Putting up a gigantic structure or putting in place a laudable schemes such as the CNG powered mass transit buses, is not a problem in Nigeria, but the problem lies in maintenance and getting it to run at all times. To guide against this and ensure that the buses are kept on the roads at all times, Abiodun assured that local mechanics, who are part of the conversion engineering, had been trained to maintain the buses.
“Conversion stations have been set up in the three senatorial districts of the State to allow for the rapid conversion of commercial and public mass transit buses and vehicles across the State,” the governor assured.
He opined that the initiative no doubt, would reduce the cost of transporting goods and services from one place to another as well as provide the needed training and job opportunities for thousands of technicians and mechanics around the state.
For residents of Abeokuta and its environs who have been complaining of high cost of transportation, the governor has this to tell them: “Some of these buses will ply Kuto to Wole Soyinka train station in Laderin, some from Onikolobo to Idi-Aba corridor, while others will serve Ita-Oshin-Adatan route.”
To others, who are not likely to benefit from this first phase, Abiodun said: “As we expand our fleet, we will also deplore the buses to major towns and cities starting with Sango- Ota, Sagamu, Ijebu-Ode and this will provide mass transportation for our citizens particularly our young students in the towns and cities.”
For those in the border areas, the governor assured them that, some of the buses will ply the Mowe-Ibafo to Berger in Lagos as well as the Redeemed axis to Lagos Island, not forgetting the engine room of the State the workers and of course, the students
To ensure a seamless operations of this laudable project, the state government has set up a gas filling station at Obada-Oko, just as it would provide the needed infrastructure to support the refuelling of the buses along the roads and terminals.
Abiodun appreciated President Bola Ahmed Tinubu for the initiative as he stated that the state government is taking a cue from the federal government as a sub- national in executing the project.
No doubt, times are really hard, but Governor Abiodun wants the people of the State to key into the words of Robert Schuller who said “tough times never last but tough people do”. He wants them to know that he appreciate that these are indeed very difficult times and it shall come to pass. He wants them to have it at the back of their minds that his administration is leaving no stone unturned at ensuring the needed succour and relief are brought to them as quickly as possible.
Commissioner for Transportation, Engr. Olugbenga Dairo, whose Ministry is saddled with the responsibility of overseeing the smooth operations of the Mass Bus Transit, said the unveiling of the buses marked an important milestone in the implementation of the state’s transport policies and the state multi-modal transport plan. He added that the use of alternative and cheaper fuels is also one of the key reasons why the state government established the Ministry of Transportation in February, 2020.
Giving a legislative backing to the project, the member representing Imeko and Yewa North in the Federal House of Representatives; Hon. Gboyega Nasir Isiaka, thumbed up the state government for being the first in the country to launch the project, describing the CNG as one of the cheapest fuel to replace petrol, saying that the Federal Government was also thinking in the same direction.
The federal lawmaker commended the governor for brilliantly pivoting the initiative, expressing optimism that the impact would be felt by the people.
Akarigbo of Remoland, who also double as the Chairman of the Ogun State Council of Obas, Oba Babatunde Ajayi, speaking on behalf of traditional rulers, lauded the Abiodun led-administration for its developmental stride across the State. He charged government to ensure that the CNG enabled buses not only operates inter-city, but also intra-city transportation, for the people to feel the impact.
No doubt, the removal of subsidy on fuel will bring unbearable hardship on Nigerians, but with their support and governments doing the needful, there is bound to be a light at the end of the tunnel.
Udofia writes from Governor’s Office, Oke-Mosan, Abeokuta.
