Should President Buhari remove Fuel subsidy?

 

The World Bank has advised President Muhammad Buhari to remove fuel subsidy forthwith, saying now is the best time to do so. Government spent over 6 trillion on fuel subsidy between 2006 -2010. Analysts say, the only answer to fuel scarcity is fuel subsidy removal and deregulation of downstream sector. US Former secretary of state Hilary Clinton said, ''Nigeria produces crude oil and yet import fuel. It is a clear case of mismanagement.''

if President Muhammad Buhari should remove fuel subsidy, oil producing companies, foreign investors and private individuals will build refineries in Nigeria. The huge amount of money corrupt independent oil markets collect from government will stop.

President Buhari should listen to World Bank on fuel subsidy removal because the country looses so much of money on fuel subsidy. A breakdown of the subsidy payments showed $1.818 billion was spent in 2011; $2.63 billion in 2012; $3.26 billion in 2013; and $3.14 billion for 2014.  The only way to end fuel scarcity is to remove fuel subsidy this will make foreign investors and private investors build refineries, importation will stop and prices will become competitive and eventually fall. As we speak Alhaji Aliko Dangote is already building refinery at lekki area of Lagos state.  Yes the cabals and fraudulent oil marketers will no longer have their cakes as usual. It will reduce the high rate of corruption in the sector.

 How will Nigerians react if the president remove fuel subsidy knowing fully well what happened during previous administration? The partial removal of subsidy increase the prices of petroleum products under President Jonathan.

The most important thing is proper sensitization and enlightenment of Nigerians on the immense benefits of fuel subsidy removal. Once the government will explain to ordinary Nigerian before fuel subsidy removal.

 Government must wake up to reality and remove fuel subsidy without delay. The only way to end fuel scarcity and fight corruption in the oil sector is to remove subsidy. Fuel subsidy removal will benefit Nigerians because oil prices will eventually fall as a result. President Buhari should remove fuel subsidy.