Connect with us

News

FUEL SUBSIDY AND PRICE CONTROL- SOLUTION TO ECONOMIC HARDSHIP IN NIGERIA

Published

on

FUEL SUBSIDY AND PRICE CONTROL- SOLUTION TO ECONOMIC HARDSHIP IN NIGERIA

By: Victor Emejuiwe

No sane government should watch its citizens suffer untold hardship and live in poverty. The primary responsibility of government is to protect the life’s and to secure the welfare of the people. President Ahmed Bola Tinubu spontaneously announced the removal of fuel subsidy on the day of its inauguration without considering the attendant consequences of such a decision. In fairness to the removal, the amount of money claimed to be payment of subsidy in Nigeria was quite humongous from N300 billion during the Good Luck Jonathan administration in 2012, to N2.7 trillion in 2022. However, beyond the doubt as to the authenticity of the real value paid on subsidy, the secrecy and corruption associated with the entire subsidy regime was very un-palatable. It was as a result of this, that many Nigerians canvassed for the removal of subsidy. Nevertheless, there are some other school of thought who believes that the government was not sincere on its own part due to the lack of transparency and accountability in petrol consumption and subsidy payment. Also, even where several reports indicting subsidy saboteurs were released, the federal government did nothing to investigate and prosecute those who were accused of corruptly enriching themselves from the subsidy payments. Therefore, the payment of subsidy on its own was not the problem but the willingness of government to come clean with its transaction on subsidy payment and muster the political will to pervert corruption amongst the stakeholders was the major problem. The view on re-introduction of subsidy becomes necessary given the fact that payment of subsidy is a common global practice by governments all over the world. It is taken to ameliorate hardship faced by majority of citizens in the purchase of very expensive commodities. In this case, Nigeria being a mono-economy driven by sales of crude oil, has made the price of every other commodities reflective in the rise or fall in the price of crude oil. The subsidy regime cushioned a lot of hardship amongst Nigerian in the past and with its removal today, Nigerians have not been able to recover from the effect, as we can witness the continuous increase in the prices of all commodities in Nigeria. Most workers do not report to work on a daily basis, some business closed shops and the general standard of living has reduced. Couple with this fact, is government inactiveness in controlling the hike in the prices of locally produced commodities. The lack of a price stabilization and mechanization control which was hitherto implemented in the 70’s have made it possible for middle men to determine the prices of commodities in the market. The practice of the middle men is to acquire these goods from the dealers and hoard them so as to create scarcity and speculate a market price before they sell, with wide profit margin. If government enforce the price control Act as ordered recently by the federal high court on goods and commodities that are locally produced in Nigeria, the hoarders and speculators would run out of business and food items and other commodities would be available at the normal rate. The lack of a price control mechanism is what led to the failure of most government policies on agriculture. It is so unfortunate that the past government of President Muhammed Buhari, made efforts to encourage local production of food commodities such as rice and even provided subsidies to farmers to embark on local rice production, but instead of having the price of rice reduced, it rather led to more than 200 percent increase in the price of rice. Rice which was sold for N9600 before the ban on imported rice, skyrocket to N19,800, at a point, it rose to N36,000 and the government could not do anything to stop the hike. Under this present administration, a bag of rice sells for N77,000. It is an anomaly for government to provide incentives to local producers of commodities and at the same time, do not have control of the market price.
In light of the above, in the interim, the Federal Government should re-introduce subsidy on petrol and diesel under a more transparent regime and deal with saboteurs who divert the products to other countries and in the long run, the Federal government should get our refineries working at optimum capacity so that any attempt to remove subsidy on petrol and diesel will not have much impact on the price on petrol. Also, a list of commodities and items produced locally should be established and the market price should be determined under a price control, stabilization and mechanization regime. The government should enforce the laws and policy on price control. Finally, for resource mobilization, the government should stop oil theft so that more resources can be generated from crude oil and this would help us pay for the subsidy on petrol and also pay for the functionality of our refineries.

*Victor Emejuiwe
Monitoring and Evaluation/Strategic Communication Manager
Centre for Social Justice.
Abuja
08068262366

FUEL SUBSIDY AND PRICE CONTROL- SOLUTION TO ECONOMIC HARDSHIP IN NIGERIA

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

News

Zulum Visits Uba, Chibok Communities, Vows Rescue of Abducted Schoolchildren

Published

on

Zulum Visits Uba, Chibok Communities, Vows Rescue of Abducted Schoolchildren

By: Our Reporter

Borno State Governor, Professor Babagana Umara Zulum, on Tuesday visited Uba town to sympathise with parents of schoolchildren recently abducted in Mussa community, assuring residents that all efforts were being intensified to secure the safe release of the victims.

Governor Zulum, who has consistently visited communities affected by insecurity to console victims and assess the situation firsthand, met with parents of the abducted children at the palace of the Emir of Uba.

Addressing the gathering, the governor conveyed his heartfelt sympathy to the Emir, the parents of the abducted children and the entire people of the Uba Emirate over the unfortunate incident.

“I want to convey my deepest sympathy to the Emir of Uba, parents of the abducted children and the entire people of Uba Emirate over the recent unfortunate incident,” Zulum stated.

“Let me assure you that the Federal Government under the distinguished leadership of President Bola Ahmed Tinubu, the Nigerian Armed Forces and Borno State Government will do everything possible to secure the release of the children,” he assured.

The governor commended the military and other security agencies for taking proactive measures to prevent further deterioration of the security situation in the area.

He disclosed that the Brigade Commander, Commanding Officer, Divisional Police Officer and other heads of security establishments had already been deployed to strengthen security and facilitate the safe return of the abducted children.

Governor Zulum also pledged to fortify security in Askira, Uba and adjoining communities to prevent a recurrence of similar incidents.

“We have made frantic efforts to stabilize Askira, Uba and adjoining communities through reinforcing security in these areas,” he said.

The governor appealed to the abductors to release the innocent children, noting that they were minors who required the care and protection of their parents.

He further called on residents of the Uba Emirate and the entire people of Borno State to intensify prayers, especially during the first 10 days of the holy month of Dhul Hijjah.

Speaking during the visit, the Emir of Uba, Alhaji Ali Ibn Isma’ila Mamza II revealed that the incident occurred on Friday, 15 May, when 48 persons were abducted in Mussa community, including 37 primary school pupils, six secondary school students and five other residents.

The monarch commended Governor Zulum for his unwavering commitment to addressing insecurity, uniting the people of the state and supporting the emirate.

Also speaking, a representative of the Mussa community, Dr. Chinapi Amanja, appreciated the governor for the visit and acknowledged the deployment of senior military officers and other security personnel to the area.

…Zulum Condoles Chibok Communities

In a related development, Governor Zulum also visited Chibok town to commiserate with communities affected by recent attacks in parts of Chibok Local Government Area.

Addressing district heads, village heads, council members and other stakeholders, the governor said he was deeply saddened by the attacks, which claimed several lives and left many others injured.

“I purposely came to Chibok to sympathize with you over the recent attacks in some parts of the local government which claimed many lives and left others injured,” Zulum said.

“I want to assure you that the Federal Government, Nigerian Armed Forces and the Borno State Government will do everything possible to avert the recurrence of such incidents,” he added.

The governor urged residents to remain calm and law-abiding, assuring them that government was making concerted efforts to restore normalcy in the area through the deployment of additional troops.

He also prayed for the repose of the souls of those who lost their lives and asked God to grant their families the fortitude to bear the loss.

Speaking on behalf of the affected communities, the District Head of Garu, Engr. Zannah Madu, appreciated the governor for the visit and for the continued government intervention in addressing security challenges in the area.

Governor Zulum was accompanied on the visits by the member representing Chibok/Damboa/Gwoza Federal Constituency, Hon. Ahmed Jaha; Acting Chief of Staff to the Governor, Dr. Babagana Mustapha Malumbe; Commissioner for Information and Internal Security, Professor Usman Tar; Permanent Secretary, Government House and Security, Barrister Mustapha Busuguma; Special Adviser on Monitoring, Engr. Baba Bukar Gujbawu; and Special Adviser on Media, Dauda Iliya.

Zulum Visits Uba, Chibok Communities, Vows Rescue of Abducted Schoolchildren

Continue Reading

News

Rainy season: NEMA strengthens disaster preparedness, community resilience in Gombe

Published

on

Rainy season: NEMA strengthens disaster preparedness, community resilience in Gombe

The National Emergency Management Agency (NEMA) on Monday engaged relevant stakeholders in Gombe State on the National Preparedness and Response Campaign (NPRC) 2026.

This is part of ongoing nationwide efforts aimed at strengthening disaster preparedness and community resilience across the state and country.

In her keynote address, the Director General NEMA, Mrs. Zubaida Abubakar Umar represented by the North-East Zonal Director of NEMA, Mr Suleiman Yakubu stated that the campaign was designed to drive early and coordinated action to protect lives and livelihoods during this year’s rainy season.

Also speaking at the engagement, the Head of NEMA Gombe Operations Office, Hajia Ummuna Ahmed, commended the community members and stakeholders for their cooperation and commitment toward disaster preparedness.

Ahmed stressed the importance of early warning information, community participation, and proactive measures in reducing the impact of disasters on lives and livelihoods.

In his presentation on Disaster Risk Reduction Measures, Dr Terungwa Igue specified the various sectorial roles in reducing risks associated with floods.

Igue assured stakeholders of NEMA’s continued commitment to strengthening preparedness initiatives, enhancing public awareness, and promoting safer and more resilient communities across Gombe State.

The engagement further demonstrated the shared commitment of all stakeholders toward fostering safer, better informed, and disaster resilient communities throughout the state.

The team carried out extensive community sensitisation and engagement activities in Wuro Juli Community in Akko LGA of Gombe State.

The sensitisation continued on Tuesday at Yamaltu Emirate in Yamaltu Deba LGA where the Emir of Yamaltu, Alhaji Abubakar Aliyu appreciated NEMA for always coming to sensitise them and charged all the 14 Hakimis who represented 14 villages to take the messages to their domain.

The community engagement exercise focused on enhancing disaster preparedness, promoting early warning awareness, and building community resilience against potential hazards and emergencies, particularly flood related.

The exercise was conducted in collaboration with the Gombe State Emergency Management Agency (GOSEMA), Local Emergency Management Committees (LEMCs), and community leaders, whose active participation and support contributed immensely to the success of the campaign.

The collaboration further reinforced the collective commitment toward disaster risk reduction and effective emergency response at the grassroots level.

Rainy season: NEMA strengthens disaster preparedness, community resilience in Gombe

Continue Reading

News

NESREA Shuts Kano Rice Plant Over Environmental Violations

Published

on

NESREA Shuts Kano Rice Plant Over Environmental Violations

By: Michael Mike

The National Environmental Standards and Regulations Enforcement Agency (NESREA) has sealed off a rice processing facility in Kano State, Fortune Rice Mills Limited, over alleged violations of environmental regulations relating to air pollution and offensive emissions.

The enforcement action, carried out on Monday, was led by the agency’s North-West Zonal Director, Dr. Mudashiru Raheem, following investigations into public complaints against the company.

According to NESREA, residents had raised concerns over persistent dust emissions and offensive odour emanating from the facility despite earlier compliance notices issued to the company.

The agency said investigations established that the rice mill violated provisions of the National Environmental (Air Quality Control) Regulations 2014 as well as the National Environmental (Food, Beverages and Tobacco Sector) Regulations 2023, prompting the sealing of the plant.

Director-General of National Environmental Standards and Regulations Enforcement Agency, Innocent Barikor, who authorised the shutdown, condemned what he described as the “reckless attitude” of some industrial facilities towards public health and environmental safety.

Barikor stressed that economic interests must not come at the expense of citizens’ wellbeing and environmental sustainability, warning that the agency would continue to enforce compliance with environmental laws across the country.

“The health of citizens and the environment must not be sacrificed on the altar of economic gain,” he said.

He also called on Nigerians to take greater responsibility for environmental protection by reporting environmental infractions and pollution incidents to the agency for prompt action.

The latest enforcement underscores renewed regulatory scrutiny on industrial operators amid growing concerns over environmental pollution and public health risks in several parts of the country.

NESREA Shuts Kano Rice Plant Over Environmental Violations

Continue Reading

Trending

Verified by MonsterInsights