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

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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

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Gov. Uba Sani visits scene of Kurmin Wali attack,vows to free captives

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Gov. Uba Sani visits scene of Kurmin Wali attack,vows to free captives

By: Zagazola Makama

Gov. Uba Sani of Kaduna State on Wednesday visited Kurmin Wali village in Kajuru Local Government Area, scene of a recent bandit attack, where he admitted the incident and pledged decisive action to secure the release of those abducted.

The governor, who commiserated with the victims and their families, described the Jan. 18 attack on three churches in the community as painful and unacceptable, assuring residents that his administration would intensify efforts to restore lasting peace in the area.

Sani said the state government would work closely with the military and other security stakeholders to ensure the safe return of all captives and prevent a recurrence of such attacks.

He appealed to the Minister of Defence, Gen. Christopher Musa (rtd), a native of Kaduna State, to support the establishment of a military base in the area to enhance security and deter criminal elements.

The governor also announced plans to construct an access road to Kurmin Wali, establish a Primary Health Care centre, and provide other social amenities to improve living conditions and strengthen government presence in the community.

Addressing international and local journalists who accompanied him to the village, Sani said his administration remained committed to protecting lives and property across Kaduna State.

Residents of Kurmin Wali thanked the governor for the visit and pledged their cooperation with the government to help secure the release of the abducted persons and sustain peace in the area.

Gov. Uba Sani visits scene of Kurmin Wali attack,vows to free captives

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The Emir of Tikau urges the new Emir of Gamawa to carry his people along for the development of the emirate

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The Emir of Tikau urges the new Emir of Gamawa to carry his people along for the development of the emirate

By: Yahaya Wakili

His Royal Highness the Emir of Tikau in Yobe State, Alhaji Abubakar Muhammadu Ibn Grema II, has called on the new emir of Gamawa in Bauchi State, Alhaji Adamu Abdulkadir Adamu, to carry everybody along in the emirate for the development of the nation.

The royal father made the appeal today at his place in Sabon Garin Nangere while receiving the new emir of Gamawa in Bauchi state, His Royal Highness, Alhaji Adamu Abdulkadir Adamu. He said the creation of emirates is a great development for the nation.

“As we know, there was a very strong relationship between the Gamawa and Tikau emirates, and these will continue existing, and we share a boundary with them, and there was something that was raised between us and them, and anything that affected them affected us directly.” The Royal Father said.

According to Mai Tikau, the most cases we have are the conflicts between the farmers and the herders from time to time. Sometimes they will enter our territory, and sometimes we will enter their own, adding that, for the issue of the border, we hope with your coming as the new emir of Gamawa, this problem will be solved.

Speaking earlier, the emir of Gamawa, Alhaji Adamu Abdulkadir Adamu, said they were at Tikau Place to express their appreciation to the royal father, the emir of Tikau, for his support given to us since we emerged as the new emir of Gamawa.

He said, “Immediately His Excellency, the Executive Governor of Bauchi State, Hon. Bala Abdulkadir Muhammad Kaura, created this emirate. Mai Tikau is the first person who sent a delegation to Gamawa to congratulate us.”

The Emir of Tikau urges the new Emir of Gamawa to carry his people along for the development of the emirate

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Former Minister visits Gimba Memorial School in Potiskum

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Former Minister visits Gimba Memorial School in Potiskum

By: Yahaya Wakili

The former Minister of Police Affairs and Leader of the African Democratic Congress (ADC) in Yobe State, Alhaji Adamu Maina Waziri, has paid a surprise visit to Hafsatu Gimba Ahmed Memorial School in Potiskum, where he was warmly received by the students and the school management.

During the visit, the former minister distributed educational materials and foodstuff to the pupils and commended the school’s leadership for its commitment to quality education.

Adamu Waziri moved from classroom to classroom, where he engaged directly with students in a cheerful and fatherly manner and charged them to take their studies seriously, noting the importance of reading as a key to personal and national development.

He commended the proprietor of the school, Dr. Hassan Gimba Ahmed, the publisher/editor-in-chief of NEPTUNE PRIME, for his dedication to education and community service as a whole, adding that what Dr. Hassan Gimba has done here is not just building a school but building a legacy.

Earlier, the proprietor of the school, Dr. Hassan Gimba Ahmed, ably represented by the school’s management, thanked Alhaji Adamu Maina Waziri for his generosity and continued interest in youth development and described the visit as a major encouragement to the school and the community hosting it.

“This gesture underscores Adamu Maina Waziri’s ongoing commitment to supporting education and nurturing the next generation of Nigerian leaders even beyond his years of public service.

The highlight of the visit concluded with a group photograph and heartfelt appreciation from students, many of whom said they were inspired by the former minister’s humility and kindness.

The former minister of police affairs was accompanied by Dr. Zainab Boni Haruna, Engr. Abubakar Adamu Waziri (alias Cargo), Hon. Umar Khali, ADC state party chairman, Hon. Lawan Mammadu Kori, and Dr. Mamu Muhammad, among others.

Former Minister visits Gimba Memorial School in Potiskum.

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