Buhari lacks political guts, he should have removed subsidy before now, Esele adds
By Jeph Ajobaju, Chief Copy Editor
Muhammadu Buhari lacks the political will to remove fuel subsidy, so it is not surprising the President has now come clean about it, says former Trade Union Congress (TUC) President Peter Esele.
The federal government last week suspended the removal via the National Economic Council (NEC) despite the fact it would save the economy more than N6 trillion.
Esele, also former Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) President, said Buhari would have removed the fuel subsidy one year into his administration if he wanted to phase it out.
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Buhari lacks political will to act
Esele argued on Channels Television that Buhari has been beating about the bush on fuel subsidy removal in his eight years in office because he lacks the political will to do it, per Daily Post reporting.
“I think this government, if they wanted to remove fuel subsidies, would have done it in the first year of their administration when they had huge political capital to expend, but since it was not done, what they have been doing over the years is kicking the can down the room,” he said.
Industry data shows the Buhari administration would have spent about N10 trillion on fuel subsidies between May 2015 and 29 May 2023.
Buhari suspends fuel subsidy removal, in fear of uprising
Abuja announced on April 27 its suspension of fuel subsidy removal apparently to enable Buhari retire to Daura in peace on May 29 amid strident Labour opposition to subsidy removal without fixing local refineries to stop fuel imports and reduce the high cost of living.
The NEC asked the federal government to put on ice the June deadline for the removal of petrol subsidy pending the review of plans to provide succour for Nigerians.
The World Bank recently loaned Nigeria $800 million to provide palliatives to citizens most likely to be impacted by the consequences of subsidy removal.
But many Nigerians are skeptical, arguing the money – which adds to national debt – will simply be stolen by government officials as usual.
Subsidy should not be removed now, the NEC argued, saying Abuja would broaden consultations with state governments and other stakeholders such as labour unions, petroleum marketers, the Ministry of Finance, Nigerian Upstream Petroleum Regulatory Commission (NUPRC) and representatives of the incoming administration.
This “expanded committee” would “determine if the removal can be done by June as planned,” it stressed
Finance Minister Zainab Ahmed disclosed this after the valedictory NEC meeting chaired by Vice President Yemi Osinbajo at the Villa.