Fuel Subsidy Removal Latest: President Goodluck Jonathan Dares NLC


President Goodluck Jonathan said yesterday that if Nigeria as a country must make progress, the government must take the bold step and remove subsidy on petroleum products.

President Jonathan emphasized the need to deviate from the past and embrace proactive measures that would help to achieve the transformation agenda, just as he regretted that after about 53 years of exporting crude oil, Nigeria has failed to transform into a hub for the petrochemical industry.

Speaking at the National Mirror Newspapers Maiden Annual Lecture held at the Nicon Luxury Hotel, Abuja, the President stressed that the removal of subsidy and deregulation of the oil sector has become very imperative against the backdrop that the government had experimented with deregulation in other sectors of the economy like the telecommunications industry and it worked, adding, “you cannot eat your cake and have it.”


What gain for Nigerians — Senate
Meanwhile, the Senate has urged the Federal Government to give a comprehensive explanation to Nigerians as to what they stand to gain as benefits if the subsidy is removed. The position of the Senate was made known through the Senate Committee Chairman on Media and Public Affairs, PDP, Abia Central, Senator Enyinnaya Abaribe who noted that while the Senate would support all people-oriented policies of the administration, the Federal Government must, “in the spirit of transparency let Nigerians know what they stand to gain from this initiative.”

President Jonathan’s insistence on removal of subsidy came barely forty-eight hours after the Umbrella body of Nigerian workers, the Nigeria Labour Congress, NLC  issued a statement threatening to call out all workers to prepare for protest against the removal of fuel subsidy. NLC described the 2012 budget estimates presented to the National Assembly on Tuesday by President Goodluck Jonathan as “a disaster waiting to happen.”

It will be recalled that the President was silent on the issue of subsidy removal while presenting the N4.749 trillion budget with a deficit of N1.105 trillion to the joint session of the National Assembly. Represented at the Mirror Anniversary with the theme, “Africa and the Challenges of the 21st Century” by the Minister of Information, Labaran Maku, President Jonathan said, “In the last couple of months, there has been a very huge debate in the media as to the direction of Nigerian economy and how we can properly manage it for the future interest of our people.

One of the issues that are being hotly contested now is the issue of the deregulation of the Nigerian economy. I wish to reemphasise that our country can not go on as usual. Mr President promised on his swearing in that he will do things correctly and take those pragmatic measures that will correct the deficiencies of the past and consolidate on the progresses the nation has made since 1999.

‘’One of the areas our nation has continued to depend on and which has stunted the progress of the economy is the issue of the deregulation of the down stream sector of our oil industry. Since 1958 our nation has been exporting crude oil; after 53 years there is a need to look back and see how this sector has made progress and impacted on the life of our people. Today, government is taking a clear look at this. If the original vision was to transform that sector, in 53 years our nation should be able to become the hub of petro-chemical industry, exporting finished product to Africa.

“Because after 53 years we have no excuse to say that we continue to have crude oil without adding any value to it. Today, Niger delta should be a place where young Nigerians should be moving to seek  employment because of the associated industries that ought to grow along with the discovery of oil; this has not been the case. So we are faced with a situation in which the nation has discovered a sole resource and depended in selling this sole resource to the rest of the world that is making three, four times the money they buy from us.

Time for transformation
“It was David Ricardo, a British economist, in the last century that said that in terms of historic advantage, that we Africans are better positioned to export raw materials to Europe while Europe will manufacture and send finished product to us. That theory lasted through the era of colonial rule. Now after 50 years of nation hood, Mr. President believed that the time has come for us to get to true essence of economic management by ensuring that we open up each sector for transformation.

“The real issue about deregulation is all about subsidy because there is no nation that can succeed without deregulation in the life of the society, in one way or the other. What the government has been arguing is that this year alone we have spent N1.3trillion in subsidizing petroleum product. This is about one third of our annual budget.”

Speaking on National Mirror and the Media, Maku said,  ‘’In the last one year, this newspaper has made quite significant impact on the media and in the consciousness of our nation. It is indeed very interesting that the fact that even the older newspapers are struggling to make impact, the National Mirror has come out boldly and has sustained the tempo in the last 12 months. Mr. President reads the national Mirror daily and he has asked me to encourage you to keep it up.

‘’Let me on behalf of Mr. President reassure the Nigerian media that this administration remains committed to the course of press freedom, open governance and transparency and that informs the decision of Mr. President to sign the Freedom of Information Act into law. It was a carefully considered decision because Mr. President believes that you can not have true democracy without press freedom.

‘’The media is given a constitutional role as the fourth estate of the realm to report on the activities of the government and indeed it is the media that mediate the relationship between the government and the people. Nigeria can’t advance its own democracy without paying attention to the media. And Mr. President has everything within his power since assumption of power to have a very good relationship with the press. We do not always have to agree on every issue; if we all always agree on every issue then we will not be operating a democracy. But no matter what, this administration believes that the media has a very great role in propelling our nation forward.”

Akinjide on lack of good leadership
In his lecture, the guest lecturer and former Attorney General, Minister of Justice, Chief Richard Akinjide who challenged all political office holders in the last ten years to declare their wealth as well as their tax returns, however lamented the rot in the country’s education sector which he said has led to brain-drain and capital flight.

Akinjide who noted that the nation’s education system has collapsed with 80% of Nigeria graduates not employable. He stressed that what the Nigeria Universities are presently doing is producing graduates we cannot employ. He called for the nation’s investment on youth development if the country must grow. He added: “Even with the love of the land and the desire to help, how do you want a young Harvard or Oxford educated Nigerian with first class results and golden opportunities in Europe or America to be attracted by a continent where prospects are few and remuneration uncompetitive?

“Those Africans that are held in retention camps in Italy’s Lampedusa, waiting for deportation, do not hold Master’s Degree in Finance or Ph.D in Physics. They only constitute cheap labour which Europe rejects because it already has in excess.”
Obasanjo urges transparency

In his remark, the Chairman of the occasion and former President, Chief Olusegun Obasanjo urged Africans to work hard and surpass the performance of the last ten years, just as he called for transparency and open government if  democracy and good governance must be entrenched and deepened.

Represented by former Minister of Transport and an ambassadorial Nominee, Chief Ojo Maduekwe, Obasanjo said, ‘’All indications show that in the first decade of the 21st century, Africa is on the rise, but what must Africa do to surpass the performance of the last 10 years, democracy and good governance must be entrenched and deepened, this can not be achieved without transparency and open government.

“Sound and home grown economic policies that create wealth, generate employment and adequately provide for the welfare and wellbeing of all citizens. Transparency and open government will ensure decency and effectiveness of government.

‘’Where there is light darkness will disappear, openness is the light to be beamed to the darkness of bad government leading to corruption, nepotism, inefficiency and wanton waste. Ceasing information to the participants and partners with government, the more citizens feel involved and informed with responsiveness from government, the greater the chances of peace, harmony, progress, development and growth. Phase of participation and growth endear inclusiveness.

Present at the occasion were Legal Luminaries, captains of Industry, traditional rulers, Media Chiefs, Journalists, including the Minister of State, Federal Capital Territory Administration, FCTA  Oloye Olajumoke Akinjide, former Inspector-General of Police, Sunday Ehindero,  representative of the Oni of Ife, the Obawara of Iwara Ife, among others.


Source: Vanguard News 

Comments