Prepare for Fuel Subsidy Removal, FG Tells Nigerians

Obiajulu Joel Nwolu

The Federal Government of Nigeria has asked citizens to prepare for the imminent increment in the pump price of petrol, given the current economic realities in the country.

This was disclosed by the Minister of State for Petroleum Resources, Chief Timipre Sylva, while addressing journalists at a graduation and awards ceremony hosted by the Offshore Technology Institute, University of Port Harcourt, Rivers State.

According to Sylvia, the Federal Government would soon scrap the current subsidy regime for Premium Motor Spirit, which he described as, benefiting certain businessmen in the country.

He said, “It is very unfortunate that if (there is) an increment in fuel pump price, (it) would have an impact on the marketplace and we are not happy about that. The President especially does not want to do it, but the economic realities are staring us in the face.

“Can we continue to support the subsidy, which is not necessarily benefiting the ordinary person, but is benefiting certain individuals who are businessmen in the country? I don’t want to identify the people that are benefiting.

“Subsidy is not directly benefitting Nigerians; the biggest contact with Nigerians is kerosene consumption used by local persons for cooking; as for diesel, it is used to transport food items and so on. But these have been deregulated for a long time now.”

According to him, PMS, which he said is not the preferred fuel of the common man, continues to defy deregulation. He added that, because PMS proponents are the most vocal, they continue to kick against deregulation “but we are going to get there.”

Sylvia added, “Right now, we are still in discussion with stakeholders, so we have decided to go on with subsidy for some time, until we are able to conclude our discussions with the stakeholders and announce the policy direction.”

This post was written by Obiajulu Joel Nwolu.

The views expressed here belong to the author and do not necessarily reflect our views and opinions.

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