State govs initiated subsidy removal -Okonjo-Iweala

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State govs initiated subsidy removal -Okonjo-Iweala

Written by Taiwo Adisa and Charles Akinsete, with Agency Report Wednesday, 11 January 2012

THE Minister of Finance and Coordinating Minister of the Economy, Dr Ngozi Okonjo-Iweala, has said that state governors entered into an agreement with the Federal Government on the removal of the fuel subsidy.

In her reaction to criticisms that she was solely responsible for the hike in the price of petrol, Okonjo-Iweala stated that the state governors were equally in support of the subsidy removal, adding that the decision was not taken by the Federal Government only.

Speaking on ‘Matters Arising,’ a programme of the Africa Independent Television (AIT) on Tuesday, the Finance Minister, while articulating that the benefits from removal of the fuel subsidy far outweighed the present hardship the people are facing, stated that she was not responsible for the removal of the subsidy, as many people had claimed, adding that the decision was even taken six months before she joined the administration of President Goodluck Jonathan.

“I was not there six months ago, when the state governors deliberated and agreed on the removal of fuel subsidy. Most of the governors then were aware. So, it would be unfair to say that I am solely responsible for this. What of the governors?” she said, adding that, “I am sure it is the people who don’t want me here in the first place that are spreading this false information around.”

Dr Okonjo-Iweala, therefore, tasked Nigerians to be fair and objective in their criticisms, as far as the removal of the fuel subsidy is concerned, insisting that the decision to remove fuel subsidy, as claimed in many quarters, was not determined by her alone.

While pleading that the people should try to understand the initiative of the government, which is geared towards a sustainable economic development, Dr Okonjo-Iweala further reiterated the resolve of the Federal Government not to deliberately inflict hardship on the people, saying that with the removal of the fuel subsidy, Nigerians stood a better chance of improved living conditions, more job opportunities, functional refineries, among other services.

The finance minister identified with the pains of the people, saying that “the fuel price would not remain high forever.” She added that “this is a tough decision for any government to take. Ghana also took the decision recently. We know it is not an easy decision for the Federal Government, but it is a decision for the good of the people.

“This money will be used to improve delivery of services for the people. Let us put the money into areas that will facilitate production, such as provision of power supply, providing state-of-the-art hospitals, especially to curb the maternal mortality rate. Government would invest heavily in refineries, which will be sustained by private investors, as well as hydro power projects. This, including others, would create more jobs for our people,” she said.

While commenting further, the Central Bank of Nigeria (CBN) governor, Mallam Sanusi Lamido Sanusi, also harped on the need for the people to understand the sincere motives of the government, insisting that the removal of the subsidy is indeed a necessary step out of an impending economic collapse, hence the government’s decision to remove the subsidy. He added that the removal of the fuel subsidy was a collective decision by stakeholders such as the National Executive Council (NEC), the state governors, among others.

Speaking on the reason the government introduced palliative measures after the removal of the fuel subsidy, the CBN governor said, “removing the subsidy is a necessary course to address the root cause of poverty in the nation. Palliatives would not solve the problem. We do understand how Nigerians feel. They should also try to understand us. Let us not forget that the increase of fuel subsidy is not a new development. It occurred during General Ibrahim Babandiga’s regime, Obasanjo’s regime, both as a military head of state and democratic president.”

While lamenting the economic situation of the country, the CBN governor expressed displeasure that the nation’s manufacturing capacity is less than five per cent, while Nigeria imports most of the goods it consumes. “We import rice. We import milk and package it here. We import wheat. The country’s economy cannot be sustained with this,” adding that the Federal Government’s policy on fuel subsidy removal would not only help to revive the already failing economy, but would also provide the necessary platform for the improvement of the living standard of the Nigerian masses.

Meanwhile, the Federal Government is said to be weighing several options in relation to some of the state governors who have been linked with secretly sponsoring anti-subsidy removal protests in their states.

Sources in the administration confirmed, on Tuesday, that government had earlier received reports indicating that some governors, especially in some southern states have been linked with the sponsorship of anti-subsidy protests.

“What happened is that indigenes of some of those states were indifferent to the removal of fuel subsidy in the very first week. And in order to galvanise protests, some government persons were seen to have mobilised the sporadic protests witnessed last week,” a source said, adding that politicians in the states had actually hijacked the labour-induced protests which started on Monday for personal gains.

According to sources, “reports reaching the Federal Government indicated that some state governors have decided to play politics with the subsidy removal and turn around from what was decided at the National Economic Council (NEC).

Another source said that the strike by labour was becoming suspicious because the same organised labour had refused to go on strike to defend the rights of the people of far North, South-East and South-South who have been buying fuel at prices far above the pump price.

“The people of the North-East and North-West have been buying fuel at N250 per litre, the same for people of the South-South, while the people of the South-East have been buying fuel at N120 per litre. It is not on record that labour went on strike to defend the rights of the people of those areas,” the source said.

Meanwhile, the Federal Government has said that the International Monetary Fund (IMF)/World Bank did not instruct or direct it to withdraw fuel subsidy, the Minister of Labour and Productivity, Chief Chukwuemeka Wogu, said in Abuja, on Tuesday.

He told the News Agency of Nigeria (NAN) that government took the decision in the best interest of the country and its citizenry and also to stimulate the economy.

The minister was reacting to claims by opponents of the decision that government was taking dictation from the Breton Woods institutions on how to manage the nation’s economy.

He stressed that the Federal Government would not take decisions that were injurious to Nigerians and reassured that fuel subsidy withdrawal became necessary to save the nation’s economy from going adrift.

Wogu argued that the subsidy withdrawal policy began 15 years prior to 2012 under past administrations and that it was time to put the economy on a straight path.

“Whether our policy is driven by IMF, it is not.

“For the past 15 years, right from the regime of General Ibrahim Babangida, down to that of General Olusegun Obasanjo, even General Abdulsalami Abubakar tried it by increasing the pump price of fuel, till now.

“Every government has tried to do it because of the benefits that will be derived from it; other countries are equally doing the same; we are just arriving at the scene quite late.”

Wogu told NAN that African and non-African countries which had toed the line of subsidy removal in the past currently had very vibrant economies.

“In the countries that have done it before, who have now come out to be one of the strongest economies in the world, is Brazil.

“Brazil did it and people were agitated that this was not in the best interest, but with the passage of time, look at what Brazil has turned into, generating a lot of jobs, creating a lot of rich people, the same thing will happen in the country.

“And then you can see that because of the global economic issues, Ghana, for instance, is in the media and has removed subsidies and they’ve done their own deregulation in the oil and gas subsector.

“The only thing we are asking Nigerians to do is to be patient with the government so that at the end of the day, we will be able to reap the benefits of this policy.”

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Lies,all lies
written by Tunde Arulogun, January 11, 2012

The Minister for lies and misinformation claimed that the subsidy removal will usher the much needed development to Nigeria and Nigerians,saying that other leaders in the past have done the same.The question is,what visible development came as a result of the subsidy removal of the past,rather things were getting from bad to worse,refineries stopped working,no power supply,dilapidated infrastructures,and etc.Let the government account for the huge sums of dollars that has been sunk into the energy sector from 1999 to date that has generated no power supply.

...
written by kay, January 11, 2012

My concern is how our nation's administrators blame one another over decision taken on national issues. If they are this divided why should we trust them with whatever gain the nation will generate from this removal. Iweala said the Governors agreed with the subsidy removal 6 months ago. So what? I am also suprised that with all her education and international experience, she was making references to Ghana, a nation that is more stable with less corrupt leaders than Nigeria. Why can't you give Nigerians uninterupted light for only 60days before thinking of subsidy removal. All you do is to take away from people, give nothing back and make the life of a common man more difficult. All of you should publicly declare your assets and submit your international passport to the office of the CJ before removing the subsidy. A government that has no solution to Boko Haram stupidity because your family members are not among the citizens that were murdered. Shamefully the phd holder also said Nigerians cannot have a state of the art hospital until we start to pay 145 Naira per litter of petrol. This Government is expired simple.

Nonsensecial comparison
written by bala, January 11, 2012

When will these bastards stop compairing Nigeria with Brazil or Ghana,where there is accountability. A senator don't go with $135K/month in Ghana or extravagant budget for a president.The fact is the level of corruption going on in this country is beyond human imagination. You need to watch labaran maku on aljazeera.

Ojestic
written by Ojewola tunde joel, January 11, 2012

Nigerian government are deceiving us. A lot of money are share among politicians but they like to inflict we poor people. What are you doing with money getting back from corrupt governors by EFCC. You are all thieves

To die in patience
written by Judgement Day, January 11, 2012

So sad. It is glaring, this is IMF agenda and another failed project because it is totally built on falsehood. If the government cannot make the cabal that has been benefiting from the oil subsidy to refund the money they looted, then tell me how this will not be hijacked as well. Lives have gone but we masses need to be steadfast so that the dead can rest in peace, by making sure we force this government to return the fuel price to 65 Naira. If we fail, we will be enslave forever!

The categories of the subsidy protesters
written by olorunsola ola, January 11, 2012

There are three categories of protesters on this oil subsidy saga.First are the people that have held Nigeria in penury for decades for selfish enrichment.Second are the ignorant fools being used as hand-tools by the subtle wealth-maniacs.
Third are the people that have been disappointed in the past by the past government by one promise or the other. If you ask me where I belong. I will say the last set of people but I have not gone to the street yet and I may end up not going if the accruals from the subsidy will be selflessly utilized. Ola from port Harcourt.

...
written by maryam, January 11, 2012

Hmnh! A diff ball game. Ghanians hav trust in their leader cos they ar tested and trusted. We in Naija tested u monkeys in ol ramification but u failed. U only ended up divertin our C-wealth to ur 4rgn A/Cs. Its enof.

...
written by felix from ado, January 11, 2012

I don't why iweala should think as if she was not brought up in this corrupt environment...removal of subsidy is not the solution to our problem in nigeria...what is the assurance that the money that will comeout from the subsidy will be faithfully utilized in the right direction and who knows if the present government start up a project that project will not be abandoned if another person emerge as the next president...see our type of democracy does not guarantee good development and and growth.......all this money will still go to some people just as NIPP..

FUEL SUBSIDY REMOVAL - MATTERS ARISING
written by OKONJI GILBERT GELU, January 11, 2012

leadership is not a popularity contest.It involves foresight and taking far reaching decisions based on informations, facts and evolving trends cast on marble. Our economy is on the brink of collapse. it is clear and very obvious.
our economy has been set on fire by looters and conspirators!Shall i allow the economy to keep burning off until i apprehend the culprits or put off the fire incarno and therafter go after the culprits? We elected Jonathan to lead us and tell us the truth. He has said so.
Sanusi - CBN governor exposed the government on the jumbo pay and the inpending danger on our economy - we all haied him and applauded him. Now the same man is saying that subsidy is injurious to the economy. Nigerians are shouting ole! ole!! Soludo said same, governors agreed, the president was honest as well. Renowned and fearless minister, Okonjo Iweala cried as a mother and told her children the truth - we called her names and heaped accusations on her. Haba! what a country!!! Jesus was misunderstood, that does not make his enemies and misinformed populace right. Bakare, man of God, went on air to speak ungoldly things against the president and invoked death on him. If Nigerians wanted Bakare, we would have voted for him in the elections!!!
Subsidy has been on since - Babagida regime, Buhari, Obasanjo, Abdulsalami etc. What have they achieved with respect to the Refineries, Roads, Hospitals, Schools? Was Bakare not in this country? yet he proclaimed Buhari his political father a saint!! what a trajedy!!! WE are wiser now.

Nigerians, please take my advise.
1) let the subsidy go. We have been overfed enough. Its time to face reality
2)identify the looters and bring them to book
3)let the pallliatives be introduced fast enough so that live can move on
4)conference of key parties to be conveyed to marshal out grey areas of interest.
HARD TIMES REQUIRE HARD AND TIMELY DECISIONS. lETS THINK BEYOND OUR CONFORT ZONE AND THINK OF OUR GENERATIONS.

-3

....
written by bangy, January 11, 2012

i am highly disappointed in you Okonjo-Iweala, one would think that with all your education and internation achievements, you would result to make silly excuses such as the state governors were also involve in the decision to remove the fuel subsidy or that the decision to remove the subsidy was decided before you came into office, that just shows you are not fit for the job.

...
written by bello jega, January 11, 2012

the issue now is to correct our mistakes not continue aportioning it to either the president or govs of fec or nec or what have you.
the damaged has been done, to so many things. lets removes the increament of the fuel price and start the biggest fight of corruption and corrupts nigerian from all work of life
REDUCE THE RE CURRENT EXPENDITURE BY 50%
RE TURNS ALL THE ILLILEGAL PAYMENTS TO PETROL IMPORTERS
RETURNS NUHU RIBADO TO EFCC
REQUEST BUHARI TO HEAD THE PETROLEUM MATTERS

surgestion to the nigerians and labour
written by babatundewilson, January 11, 2012

Fellow Ngerians,
The issuses of oil removal subsidy may not help our nation for now,but here is my surgetions to the labour to face with the government.
Surgetions,
1. We demanded 300% of general salary increaments of all levels [ federal, state, local and all private companys to the workers.
2. Let all student be paid allowances at all levels of education.
3, Let governement be paying all non working Nigerians #1o,000 weekly from the state and local govenments. and national id should be use to collect this money. A data base can be generated for this.
4. At all levels let our pregnat mothers be given free medical cares, and all emergency be free in our huspitals.
5. Allow transport systems to be handle by organised companies.
6. All workers most especially in oil companies , like shell , chveron, moble etc, there should be no causualisation, should be cancel.

This is my humble surgetions to the Nigeria nation and to the labour

...
written by wales, January 11, 2012

Hi I'm writing from Jordan. Country without 1% of Nigeria resources with 5% of Nigerias population but everything seems 2 work here.... Nigeria problem is not fuel subsidy removal the problem is corruption let Mr president tackle corruption if he desires a better Nigeria.

You are all criminals
written by Charlse chukwu, January 11, 2012

Criminals, thieves, thats wat you are...wat happened to our local refinaries... didn't these countries :Ghana, Brazil.. and the rest build and put their refinaries into working state.. before subsidy removal...? was d price of fuel this expensive in their countries? during Buhari precidency as a military...was there any thing like importation of fuel?..how much was fuel sold at that time...In the first place Fuel subsidy is a scam... there is no such thing like that in Nigeria...So telling us you are spending over a trillion on subsidy is a big fat lie...tell us the names of the people importing this fuel..same old criminals...

the evils of oil subsidy.
written by prince Adetokunbo Adewole Balogun, January 11, 2012

Fellow Nigerians iam very sure after reading this piece will want to crucify me.in all this madness let us all take a deep breath and think about the issues involved.Nigerians the way we are, are a generally selfish people we should stop thinking of what we will gain in a short time but start thinking of the type of country we want to bequeathe to our children.no doubt mistakes have been made in the past we as Nigerians should think more of rectifying those mistakes rather than dwelling in the past.I can understand Nigerians when they are able to trust their leaders again but that is not the solution because someone died while swimming does that stop us from swimming again NO so at this time in our history we leaders and.people who will look beyond politics,tribe,religion and petty sentiments and do the right thing no matter how difficult it might be.don't get me wrong iam not saying removal of the oil subsidy will not bring some hardship to all of us but this should be seen as contribution to our children's future.I strongly believe president Jonathan should be given a chance to at least show us he means well and after his four year term if he has not fulfilled his promise we can throw him out democratically no reform is easy, Gethard Schroder the former German chancellor while trying reform the German economy faced a lot of opposition and lost an election but he kept on knowing fully he was doing the right thing for his people.our leaders must learn to take decisions for the good of the country even in the face of losing elections.

De ja vu
written by odisi idiakhoa, January 11, 2012

We have heard it all before. If we remove the subsidy we will be transformed into a developed economy,working railways,stable power, jobs for all. Its all a big lie. Those who are not faithful with little cannot be faithful with much. All subsidy removal will do is increase the amount of money for graft.

De ja vu
written by odisi idiakhoa, January 11, 2012

Mr
written by STEVE OLOYEDE OGUNRONBI, January 11, 2012

Okonjo-Iweala is a big disgrace,but I am not disapponited as this mad politcians thinks most Nigerians are stupid,Political corruption is not a recent phenomenon that pervades the Nigerian state. Since the creation of modern public administration my dear country, there have been cases of official misuse of resources for personal enrichment.This guys keep forgeting talk is cheap ,they promise and address ordnary Nigerians with big grammers and technical terms to confuse us,keep it simple let us see u guys lead by example not stealing our money meant for the welfare of the people and you tell us you want to take more from us,the ones you have what positive impact can we see none big cars and houses everywhere in the world ,come on we are no longer stupid.Good leaders carefully present an analytical model of significant policies and decisions that will affect the masses to them in a simple way that even a blind will feel so we can carefully understand the resultant effects,sustainanble policies are initiated and carried out by reponsible leaders.we want you to point to things you have done not how other counties did it we don't trust you ,see how many private jets GeJ has,how much those the presidency spends on feeding daily while an average Nigerian live on less than $2 a day,you guys don't buy fuel so you don't have a cleu! You don't live in a real world .If you want to take what we have show us what you have given to us like the national I'd card you gave us in the past.Common show us the the uninterupted power supply show us the good roads show us the transparent governance show us good educational system show us social security show us sanity and we will believe you and give you our trust and sanity but until then pls prepare for war

barrister
written by Rotimi Omonusi, January 11, 2012

The issue at stake is beyond subsidy removal,either way Nigerians are the loser, because if the policy is reversed, the government will have to borrow another 1.3 trillion naira to finance it , but remember that the government was already going to borrow 1.2 trillion naira to finance the 2012, budget , which means we will add the debt of 18 billion dollars to our national debt portfolio of 48 billion dollars,incured because of mis management of our economy and greed of our leaders ,who for ttheir selfish reason mortgage the futute of our country to please the foreign powers

Iwala is to Blame
written by DammyBest, January 11, 2012

We don’t agree with claim by sister Ngozi Iwala the minister of finance, that it was the governors who asked for the removal of oil subsidy, because she sold the idea to them and at the same time she should have proffered a correct time for it instead of January as the Minister of finance. Sister Ngozi Iwala you need Divine Knowledge to change for good. Long Live Nigeria.

mr
written by STEVE OLOYEDE OGUNRONBI, January 11, 2012

Okonjo is a big disgrace,but I am not disapponited as this mad politcians thinks most Nigerians are stupid,Political corruption is not a recent phenomenon that pervades the Nigerian state. Since the creation of modern public administration my dear country, there have been cases of official misuse of resources for personal enrichment.This guys keep forgeting talk is cheap ,they promise and address ordnary Nigerians with big grammers and technical terms to confuse us,keep it simple let us see u guys lead by example not stealing our money meant for the welfare of the people and you tell us you want to take more from us,the ones you have what positive impact can we see none big cars and houses everywhere in the world ,come on we are no longer stupid.Good leaders carefully present an analytical model of significant policies and decisions that will affect the masses to them in a simple way that even a blind will feel so we can carefully understand the resultant effects,sustainanble policies are initiated and carried out by reponsible leaders.we want you to point to things you have done not how other counties did it we don't trust you ,see how many private jets GeJ has,how much those the presidency spends on feeding daily while an average Nigerian live on less than $2 a day,you guys don't buy fuel so you don't have a cleu! You don't live in a real world .If you want to take what we have show us what you have given to us like the national I'd card you gave us in the past.Common show us the the uninterupted power supply show us the good roads show us the transparent governance show us good educational system show us social security show us sanity and we will believe you and give you our trust and sanity but until then pls prepare for war

Idoit
written by A good nigerian, January 11, 2012

To call you stupid would be and injustice to stupid people you are wicked and cruel when your family are eating and fattening on Nigeria's wealth you talk rubbish, if i could pray a prayer it will be for you and all does cursing pain to Nigeria to die painful and agonizing death may God forgive you.

Pastor
written by Olagox, January 11, 2012

Very interesting, these people. Cry Baby, isn't that what she is? Is this not crying after the milk is spilt? Naming the state governors as the initiators of the deregulation. Of course she is supposed to be better informed as the Finance Minister of the country. How can a governor who has his office limited to his state influence you of the federal office? If an unacceptable advise is offered by one, why not throw it away immediately.
Well her second line is that it is however a laudable project as it will bring its dividends. Don't you think if it will yield good dividends, her honorable self will not want to give the credit to others, but to herself.
Who is deceiving who? I guess these people do not just have any iota of conscience otherwise they should just leave office immediately. Or do they not see the handwriting on the wall that they are no more wanted and they are finished, caput, fini?

Not If but How!
written by Eurofighter, January 11, 2012

Foolish man are you getting it at all? People are not telling you that oil sector should not be deregulated. The quarrel is about how and when! Get this into your brain please.

Mr
written by Abdulrazak Yusuf, January 11, 2012

I think the major problem regarding subsidy removal is communication. The Government has not carried all Nigerians along to explain the motives behind the removal. Many of us are suspicious of what the Government says or does, because it has always fail to live to Nigerians expectation. But having said that, if the monies accruing from fuel subsidy removal will be properly harnessed to improve our economy, i think we should give them the chance. It is time for we to move forward and push back the frontiers of under development and poverty that have lived with us for decades.

Wicked Government
written by Giggybaba, January 11, 2012

Madam de facto Prime Minister should be ashamed of trying to pass the bulk. The regime is a total failure which is determined to frustrate Nigerians. This fuel subsidy removal was borne out of the fact that Governors refused to contribute to the Soverign Wealth Fund which was initially requested that they contribute to yet the governors arm-twisted our feable jonathan and he automatically agreed to subsidy removal.Have they boldly told us how much local production of fuel cost even at the acclaimed 30% capacity production? The cost won't be more than N45 and as such, the subsidy rubbish would naturally die a natural death.The Govt. is only keen at giving the illiterate and disgraceful first lady 5 billion Naira for an office decoration and a projected N992 million for feeding him and his vice. Rubbish.
We shall fight to the end.

...
written by Temisan, January 11, 2012

SCARCITY HITS NEIGHBOURING COUNTRIES - BusinessDay

Wednesday, 11 January 2012 00:00 BILL OKONEDO & DANIEL OBI

The Republic of Benin, which shares land borders with Nigeria is witnessing a biting scarcity of petrol, days after Nigeria stopped subsidising the product. This gives credence to widespread claims that some unscrupulous Nigerian businessmen had for years been smuggling petrol meant for local consumption across the country’s borders for extra profit, even after claiming subsidy on the product from the Federal Government.

What this indicates is that the Nigerian government has inadvertently been subsidising fuel to neighbouring countries and enriching some unscrupulous local businessmen. But in the last eight days, those illicit activities have been brought under control.

Said a Nigerian who does business in Benin Republic: “Now, with the upward price adjustment in Lagos, it is no longer profitable to smuggle fuel from Lagos to Benin Republic and Benin Republic will now have to spend its own foreign exchange to import what citizens consume.”

Sanusi Lamido Sanusi, governor of the Central Bank of Nigeria had said in a television programme yesterday :The cost of petrol in Nigeria was N65 per litre and in neighbouring countries it was N190 per litre.

“In such a situation, everybody who knows he can take advantage will take advantage. In some countries, smuggling across borders attracted the death penalty and then it was changed to 20 years.

But here, you cannot do what a monarchy or totalitarian government will do. But you can deal with it through the cost. When the cost differential becomes insignificant, it becomes unprofitable to smuggle and that blocks the leakage”.

Speaking on the same programme, Ngozi Okonjo-Iweala, finance minister said:” The element of smuggling was because the cost here was lower than neighbouring countries. At night tankers are driving across our borders and taking our products away from our people”.

A Nigerian businessman said the neighbouring countries have been consuming Nigeria’s petrol and “we have been squandering our foreign exchange bringing in petrol, spending N1.3 trillion, only for the petrol to be smuggled across the border”, he regretted.

“There is this thing about the subsidy. Apart from it being consumed by the rich and Nigerians, all our neighbouring countries also consume our petrol. In some states near borders, petrol stations are built in the bush, some within miles of the border. They never sell fuel there. They just take their allocation of petrol and take it across the border and sell it at world market price”.

Other analysts believe that the introduction of fuel subsidy by the federal government will moderate fuel consumption and specify the actual quantity of the product consumed by Nigerians yearly.

The Lagos State Commissioner for Economic Planning and Budget, Ben Akabueze, while addressing newsmen on the state’s N491.941 billion budget analysis, said consumption of fuel will now be reduced, compared to what was consumed in previous years.

“What we will see is that consumption will reduce because many will be forced to park their cars and take public buses. All of the petrol that was brought into this country for local consumption and had subsidy claimed on them, which later found their way out of the country, will no longer happen.

“The consumption will decrease and correspond to the amount of subsidy. What is true, however, is that because there is no more subsidy, the amount often deducted for subsidy from the federation account will now be available for the three tiers of governments. So we expect the impact of the subsidy to be positive, if properly applied.”

It is also expected that the policy will benefit the economy and the citizens, in the medium to long term as the private sector would likely invest in the downstream oil sector with a corresponding impact on the creation of jobs.

Other benefits that would be derivable from the policy, according to analysts include reduction in the pressures on foreign reserves as huge chunk of foreign reserves was used to fund fuel importation.

CORRUPTION IS THE BANE
written by EZIOKWU BUNDU, January 11, 2012

Fuel subsidy remuval is ok. but if the looting goig on in the country is no stopped no matter how much fuel is sold will only make the average Nigerian poorer and eventually Nigeria will be like Somalia a failed state where both the rich and poor will take to their heels.
PLEASE THE PRESIDENT & CO STOP THIS LOOTING , MAKE IT A CRIME/LIVE BY EXAMPLE....YOU ,YOUR PARTY CHIEFS AND THE NATIONAL ASSEMBLY AND NIGERIA WILL BE AS BEAUTIFUL AS USA. NOT THE SO CALLED SOBSIDY

Argue contructively
written by fahdy2k, January 11, 2012

The first comment i have here goes to OKONJI GILBERT GELU:
Are you then advising that people should not express their dissapointment when it is so obvious our goverment are bunch of rogues and never inspiring? In your commment you mentioned and seems to agree that the cause of the looming economy melt down is our corrupt leaders. So from your own view, you felt taking the money from the masses is the best way of Revamping the economy? My question to you is, what then gave you the confidence that this money will not be mis-managed and stacked up in the swiss accounts of Mr. President, the Senators etc.?
Let me let you know that Nigerians are not fighting because of the subsidy removal perse. It might be the Mantra being chanted but the bottomline is the CORRUPTION of our leaders which has trickled down to a normal thing in the society. Fuel Prices had been increased in the past, what do we have to show for it. Do you remmeber in the Babaginda era when all tolls were demolished, with promises of better road etc. what became of it. Most of this roads are now dead traps..
A Goverment whose leadership is not even ashamed of publishing a budget of 1Billion naira for his feeding and entertainments. The list goes on and on and on.
Please, let us reason well and understand that this problem will still persist even if the subsidy is removed. These rogues called leaders should declare their asset and give it up to save the country.. Yes!!! afterrall all were taking from us.

And to Ngozi: Am really dissapointed in your leadership. I would have thought Harvard graduates are truly distinguished but it seems once there is a Nigerian Factor, the story changes. How on earth could you blame it now on the governors. You already had a good track record, why would you want to mar it? If they make a decision that is against who you are and what you stand for, must you accept it? Leadership is about Intergrity, if you are not part of it, you could have voiced it out and dissociate yourself from it. And if you are and believe it is a laudable initiative, have you then thought of the CORRUPTION that has destroyed the society and from that point of view know that even this great idea may not work considering this factor.

I hope and pray that one day we will truly have leaders; visionaries, people of Integrity and honor. My advice to all is to join in this fight. Even if you cannot go out, the Social Network is at your finger tip. Facebook, TWitter, Clucks etc. Speak out and let the whole world know Nigerians are in Pains.

Pastor
written by Abiodun O Ajayi, January 11, 2012

Nigerian Goverment has noting to justify removal of fuel subsidy. Nigeria is one of the unlucky country where the citizen benefited noting, no free health no good drinking water,no electricity.The one and only thing they enjoed is what has been taken away from them.(Subsidy on fuel)How would Jonthan and his team convinced the Nigerians populance that the subsidy removed will be use for it purpose,that the money would not be share within the politicians and the Elites.How do we justify a bowl of gari the poor people food that gone up from 60 to 500 naira

mr.
written by apata dide, January 11, 2012

Are you a fool madam minister ? cant you see that all these governors are crooks that need more money to steal, after 17 years of civilian goverment what development can any state show for it. The only lekki express road expanded by lagos state is now a toll road construct by tinubu intrest company, go and figure it out madam.

Iirate Appeal to Okonjo-Iweala
written by james alabi, January 11, 2012

let Jonathan,Sambo,Iweala know that the role they are playing in this issue cannot be forgotten by posterity. our future generations and the blood of the innocent Nigerians who lost their lives during this polio-economic unrest will cry out one day to demand their pound of flesh;and the return of a wounded leopard may be deadly. watch out! All of you who slaughter and sacrifice the progress of this country on the altar of self-possession will regret.

Fuel Subsidy Removal
written by McPeters, January 11, 2012

It is so deceptive to be giving the impression that the reason government is failing the people of Nigeria is due to paucity of funds in its treasury. Therefore, they argue that with deregulation, they would have ample resources to take care of the people. But we know this is not true -at least, not in a society where corruption stinks. The more the resources available, the more would be the stealing and looting of the treasury. Let them purge themselves first and convince Nigerians that it would not go in the way of past increases. Why can't we have people of the likes of Aminu Kano, Awo, Jakande, Mbakwe, etc in government anymore?

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written by nonyeremuzoaga, January 11, 2012

The great Bob marley in his song "Get Up, Stand Up". said that you can fool some people sometimes, but you can't fool all the people all the time. The nigerian leaders have being depriving us the basic necessities of life, the only exceptions were the administrations of the late Murtala Mohammed with Obasanjo as his chief of staff supreme headqauters, that is why we thought Obasanjo would have made good president, and we wholeheartedly supported for president, and he was complete disappointment as the federal treasury free for all politicians. Then came the best administration nigeria ever had and doesn't know when next we will have that again, I mean the Buhari/ Iduagdon combo. But Babangida's greed would not give them chance get anywhere. MAY GOD BRING US ANOTHER PATROITIC LEADER,WE NEED A NO NONSENSE LEADER, ARROGANT, WICKED AND ABOVE ALL MUST LOVE NIGERIA. None of the present people in power loves nigeria our dear great nation, and I will defend this believe anytime anywhere. These politicians are worse than armed robbers, they have made gun so rampant that assinations in nigeria have become child's plays and life is now meaningless.

Mr
written by Adam John, January 11, 2012

I don't think this woman is alright. she needs some medications.

Stop all this comparison with other countries
written by Iwuanyanwu B.C, January 12, 2012

Since the removal of fuel subsidy we have a lot of arguments particularly on the Government side in the defense of the policy. But I get worried about some of these arguments because comparisons most times are worried because I don't whether the Government side is deliberately wanting to distort facts or a case of lack of understanding that in comparison you need to compare likes with likes You don't just look at the cost of fuel in Ghana without looking at infrastructure, endowment etc. The argument needs to sound to convince people we are not idiots!