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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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Security, Economic Pressures Mount in Mali as Tensions Rise Around Aguelhok and Anefis

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Security, Economic Pressures Mount in Mali as Tensions Rise Around Aguelhok and Anefis

By: Zagazola Makama

Growing uncertainty surrounding the security situation in northern Mali, particularly around Aguelhok and Anefis, is fueling concerns over mounting military, economic and humanitarian pressures facing the country.

Security sources say the situation around the two northern positions remains tense since the coordinated attacks launched on April 25, with reports indicating troop movements, defensive fortifications and increasing logistical difficulties for Malian forces and their Russian allies.

According to several local and security sources, two large military convoys made up of nearly 50 vehicles reportedly departed from Aguelhok toward Anefis and Gao. While a small number of vehicles later returned to Aguelhok, most of the convoy continued southward.

Despite the movements, Malian Armed Forces (FAMa) personnel and some Russian elements are believed to remain stationed in Aguelhok, where defensive preparations have reportedly intensified in recent days.

The digging of trenches, deployment of heavy weapons on elevated positions, reinforcement of security perimeters and the positioning of snipers were observed in strategic locations around the town.

Sources say the measures suggest preparation for a possible defensive confrontation rather than an imminent withdrawal.

The situation has generated speculation within security circles regarding the future of military operations in northern Mali, including whether authorities are considering broader counteroffensive operations toward Kidal or consolidating defensive positions amid growing operational pressure.

Additional questions have emerged following reports that new Russian personnel and military equipment arrived in Bamako earlier this month aboard a cargo aircraft from Libya.

However, sources note that logistical difficulties continue to undermine military operations in northern Mali.

Since the April 25 attacks, sources say supply routes toward Aguelhok have become increasingly insecure, complicating efforts to transport fuel, food, ammunition and reinforcements.

The security situation around Gao and along key transport corridors is also described as highly volatile, making troop movements and logistical support operations increasingly difficult.

Reports from Anefis on May 8 also indicated that another convoy of approximately 55 vehicles, including trucks, heavy weapons and motorcycles, moved southward from the area.

Some sources believe the movements involve a gradual repositioning of Russian Africa Corps contingents from advanced northern positions, while Malian troops continue holding strategic bases.

The developments come as economic pressures intensify in the capital and other urban areas.

Residents and traders in Bamako have reported sharp increases in the prices of food products, fuel and essential commodities amid supply disruptions and insecurity affecting transport routes.

Market prices for rice, millet, sugar, onions, tomatoes, cooking oil, potatoes and meat have risen significantly in recent weeks, according to traders and consumers.

Some residents say worsening shortages and inflation are placing growing pressure on households already affected by years of insecurity and economic hardship.

Fuel scarcity has also become a growing concern, with transport costs and generator expenses increasing for businesses and families.

Meanwhile, insecurity continues to spread in central regions of the country.

Local and security sources reported that suspected fighters linked to Jama’at Nasr al-Islam wal-Muslimin (JNIM) ambushed a convoy of Malian soldiers and Russian personnel near Bélèwèrè in the Niono area on May 8.

The provisional toll, according to local reports, included multiple casualties, destroyed vehicles and the seizure of weapons and ammunition by the attackers.

The incident has renewed concerns over the vulnerability of military supply routes and convoy operations across Mali.

Tensions are also reportedly rising along the Mali-Niger border, where local sources said additional Nigerien military personnel recently arrived in Labzanga to reinforce security positions near Ayorou.

Security sources say the developments reflect broader fears of expanding instability along the Mali-Niger corridor as armed groups continue to exploit weakly controlled border areas.

While Malian authorities continue to maintain that the situation remains under control, sources warn that the combination of mounting insecurity, logistical strain, economic pressure and rising public anxiety is creating an increasingly fragile environment across the country.

Security, Economic Pressures Mount in Mali as Tensions Rise Around Aguelhok and Anefis

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EFCC Receives Petition Alleging $2.98m Fraud Against Senator Cyril Fasuyi, Wife

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EFCC Receives Petition Alleging $2.98m Fraud Against Senator Cyril Fasuyi, Wife

By: Michael Mike

The Economic and Financial Crimes Commission (EFCC) has received a formal petition accusing Senator Cyril Fasuyi, who represents Ekiti North Senatorial District, and his wife, Mrs. Elizabeth Adun Fasuyi, of allegedly being involved in a $2,980,535 fraud linked to foreign business transactions.

The petition was filed by Mr. Nuel Wilson, West Africa Regional Representative of Integrated Packaging Systems FZCO (IPS Ingredis) and its Nigerian subsidiary, IPS Ingredis Integrated Systems Limited. It alleges conspiracy, fraudulent conversion, obtaining by false pretence, and diversion of funds arising from a long-standing commercial relationship.

According to the complaint, the business dealings began in 2015 after the Fasuyis, operating through Legacy Foods Limited, were introduced to the Dubai-based company by a third party. The foreign firm claims the couple presented themselves as credible and capable business partners, leading to multiple supply agreements for raw materials such as corn starch, maltodextrin, maltose syrup, and shortening.

The company stated that goods valued at over $9 million were supplied over the course of the relationship. However, it alleged that after the products were delivered and reportedly sold in Nigeria, an outstanding balance of $2,980,535 was never remitted despite repeated demands.

The petition further claims that investigations by the complainant indicated that proceeds from the sales were diverted for personal use rather than being returned to the supplier as agreed. It described the situation as a deliberate attempt to frustrate foreign investment and exploit trade relationships.

The EFCC, an agency mandated to investigate financial crimes and economic sabotage, reportedly acknowledged receipt of the petition on December 10, 2020, and is expected to review the allegations as part of its investigative process.

Mrs. Fasuyi was also named in the complaint as a co-accused, with the petition alleging her involvement in the transactions. At some point during related proceedings, she was reportedly present but allegedly evaded arrest by anti-graft operatives.

As of now, neither Senator Fasuyi nor his wife has issued a public response to the allegations.

EFCC Receives Petition Alleging $2.98m Fraud Against Senator Cyril Fasuyi, Wife

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NHRC Demands Answers as Civilian Deaths from Military Airstrikes Trigger Fresh Outrage

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NHRC Demands Answers as Civilian Deaths from Military Airstrikes Trigger Fresh Outrage

By: Michael Mike

The National Human Rights Commission (NHRC) has demanded a full explanation from the Nigerian Air Force over the recurring wave of civilian casualties linked to military airstrikes across parts of the country, warning that the continued loss of innocent lives is unacceptable and raises grave human rights concerns.

Executive Secretary of the Commission, Tony Ojukwu, said the repeated bombings of civilian communities, markets and vulnerable populations under the guise of counter-insurgency operations have become deeply disturbing and cannot continue without accountability.

While acknowledging the responsibility of the Nigerian State to combat insurgency, banditry and terrorism, Ojukwu stressed that military operations must comply strictly with constitutional provisions, international humanitarian law and Nigeria’s human rights obligations.

“The repeated reports of civilian deaths and injuries, including women, children and other vulnerable persons, arising from aerial bombardments raise serious concerns regarding the protection of the right to life and human dignity,” he stated.

The Commission specifically questioned why civilian casualties linked to airstrikes have continued to recur despite previous public outrage and repeated promises of operational reforms.

“Nigerians deserve to know why this has become a recurring decimal,” Ojukwu said.

He cited recent incidents recorded within April and May alone, including reported airstrike casualties at Jilli Market in Yobe State, Shiroro Market in Niger State and Tumfa Market in Zamfara State.

“For how long will this continue?” he asked.

The Chief Human Rights Officer warned that the principles of distinction, necessity, proportionality and accountability remain binding obligations under international humanitarian law and must guide every military engagement, especially in conflict-affected communities where civilians are at greatest risk.

According to him, civilian populations must never be reduced to “collateral damage” in the conduct of security operations.

The Commission called on the Nigerian Air Force to provide a comprehensive account of the circumstances surrounding the incidents and disclose the safeguards being implemented to prevent future civilian deaths.

Ojukwu further demanded prompt, transparent and independent investigations into all reported cases of civilian casualties resulting from military airstrikes, insisting that victims and affected communities deserve justice, compensation and psychosocial support.

He also urged security agencies to improve intelligence gathering, operational precision and internal accountability mechanisms to reduce the risk of targeting innocent civilians during aerial operations.

The NHRC maintained that national security objectives cannot be pursued outside the framework of legality and respect for human dignity.

“National security and human rights protection are not mutually exclusive,” the Commission stated, warning that public trust in security operations would continue to erode if civilian deaths persist without accountability.

The Commission reaffirmed its commitment to closely monitor developments and engage relevant authorities to ensure the protection of citizens’ rights amid ongoing security operations across the country.

NHRC Demands Answers as Civilian Deaths from Military Airstrikes Trigger Fresh Outrage

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