REMOVAL OF FUEL SUBSIDY: PRESIDENT TINUBU SHOULD BE COMMENDED NOT CRITICIZED - Haruna Abubakar Bebeji

REMOVAL OF FUEL SUBSIDY: PRESIDENT TINUBU SHOULD BE COMMENDED NOT CRITICIZED - Haruna Abubakar Bebeji

On May 29th, 2023, President Bola Ahmed Tinubu made a bold and historic decision to remove fuel subsidy in Nigeria. This move, which has been a long time coming, is potentially a great step in the right direction for the nation's economy.

His decision has garnered mixed reactions from different quarters. While some have criticized the move, others have applauded it as a bold step towards economic growth and development.

For decades, fuel subsidy has been a contentious issue in Nigeria. On one hand, it has provided some relief for citizens who have struggled with high fuel prices. On the other hand, it has been a drain on the country's resources, costing the government billions of naira each year. The subsidy has also been plagued by corruption and mismanagement, with reports of fuel being smuggled out of the country and sold at a higher price. Fuel subsidies is a major factor in Nigeria’s economic malaise.

Subsidies, by their very nature, have distorting effects on markets. They create artificial price differences, which lead to inefficient resource allocation and an inability to effectively compete in global markets.

In light of these issues, President Tinubu's decision to remove fuel subsidy is a bold and necessary step. The move is expected to save the government billions of naira each year, which can be redirected towards other critical areas such as education, healthcare, and infrastructure. It is also a step towards reducing the country's dependence on oil, which has been a major contributor to the nation's economic instability in the past.

By removing fuel subsidies, President Bola Ahmed Tinubu is attempting to create a more level market so that producers can compete more effectively and consumers can benefit from lower prices.

Removing fuel subsidy will also encourage private sector investment in the country's downstream oil sector. This will lead to increased competition, which will ultimately result in better services and lower prices for consumers. It will also create new opportunities for local businesses and entrepreneurs, who will be able to compete on a level playing field with multinational corporations.

The removal of fuel subsidy will also have a positive impact on the environment, because it will help reduce wasteful consumption of fuel and increase energy efficiency in the country.  By removing subsidies, consumers will be more aware of the cost of production, leading to a reduction in consumption. This in turn will lead to a decrease in emissions from fuel combustion, helping to reduce the impact of climate change and that will also encourage investment in renewable energy sources such as solar and wind power, which will help to reduce the country's carbon footprint and address the issue of climate change.

In addition, taking the burden of fuel subsidies off the government budget will lead to more money being allocated to social projects, such as education and health care. This will allow the government to invest in infrastructure, increase access to services, and develop the country in a short time.

Removing fuel subsidies will also improve the efficiency of the Nigerian economy, by encouraging competition and allowing fuel prices to be set by the market, which will in turn increase government revenue, that can be used to finance public services and reduce poverty levels, and it will as well discourage smuggling of fuel and other contraband items.

Of course, there will be some short-term pain associated with the removal of fuel subsidy. Fuel prices will likely increase, which will impact the cost of transportation and goods. However, the benefits of the move far outweigh the short-term challenges.

By removing fuel subsidy, President Tinubu is taking a bold step towards creating a more sustainable and prosperous future for Nigeria.

In conclusion, the removal of fuel subsidy by President Bola Ahmed Tinubu is a potentially great, bold, and right step in the right direction for Nigeria. It will save the government billions of naira each year, reduce the country's dependence on oil, encourage private sector investment, and create new opportunities for local businesses. While there may be some short-term pain, the benefits of the move far outweigh the challenges. President Tinubu should be commended for his leadership and vision in making this historic decision.

NOTE: All opinions are mine

My name is Haruna Abubakar Bebeji.  

I'm a passionate writer, content creator, and blogger from Kano, Nigeria. I started writing online about politics, governance and day-to-day issues to share my thoughts, ideas, and experiences in this space. Over time, my blog has become a space for me to inspire, motivate, and entertain others.  I'm committed to bringing engaging, quality content that will help make anyone's life just a little bit better. I love to explore new topics, review products, and discuss the latest trends in politics and governance. I write in both English and Hausa and as a certified International Translator and Interpreter, I Translate from English to Hausa or Hausa to English. When I'm not writing or creating content, you can find me outside enjoying nature, reading, or spending time with family or friends.  Thanks for visiting my page. I hope you come back for more great content!