President Goodluck Jonathan launched fresh campaign to totally remove subsidy on fuel

President Goodluck Jonathan declared, yesterday, that fuel subsidy must be removed, arguing that this was the only way to encourage private investment in the nation’s refineries.

The president made the declaration just as the report of a study commissioned by the government indicated that unless fuel subsidy is scrapped, the government will not be able to attract the investment it needs to get the refineries work.

The president spoke in Abuja when he met participants of the 2012 Senior Executive Course, 34 of the National Institute for Policy and Strategic Studies, NIPSS. He said looking at what obtains in other countries, Nigeria stands to gain more if she allows market forces to determine the cost of petrol.

Citing the example of Canada, President Jonathan said the North American country has 16 functional refineries that are performing at optimal capacity because all the refineries in Canada are privately-owned.

He challenged participants at NIPSS to come up with policies that would advance good governance in all sectors of the economy.

“Why is it that people are not building refineries in Nigeria, yet it is a big business? It is because of the policy of subsidy and that is why we want to get out of it”, Jonathan said.

He predicted that if allowed to operate, the removal of subsidy could engender a turn-around within 10 years with the commitment of government and strong political will once the right policies are put in place.

“I believe that you do not need a lifetime to change a nation. Under 10 years, Nigeria can change and people will not even believe that this is Nigeria again. Immediately you come up with strong policies in key sectors of the economy and keep it for 10 years, the change will be astronomical,” he said.