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Posted By Admin On February 27th, 2024

A group, No Justice, No Peace Initiative, has urged President Bola Ahmed Tinubu to consider bringing back fuel subsidy.

It noted that the masses are not benefiting from subsidy removal stressing that only officials in government do.

National Coordinator of the group Comr. (Amb.) Derrick Oritsematosan Agberen made the call in a statement signed and made available to DAILY POST on Tuesday.

While pointing out that the removal of fuel subsidy was a step in the right direction, he said, “It would have been complemented with local refining and supply of the products.”

Agberen, who spoke about how the Naira has depreciated greatly against the dollar opined that modular refinery remains an option because it is a less capital-intensive alternative and flexible in adjusting to market demands.

“We have had refineries but the Federal Government of Nigeria sees no reason why it should function, to refine her crude oil products.

“Despite the abundance of her mineral resources, Nigeria has lacked the capacity to meet the country’s demand for petroleum products locally and has resorted to their importation. How slowly we’ve walked, that her crude oil products are exported outside Nigeria to be refined, making the dollar stronger than the Naira, and then imported back. Corruption is a central player in all these,” he said.

Agberen said the President Tinubu-led Federal Government needs to consider granting licenses to modular refineries that have the capacity to refine crude oil, since government-owned refineries are not working.

“It can generate additional energy and shore up our GDP and forex reserves. This in turn will not only rise the Naira and reduce the cost of goods and services but will create employment and rural development in Nigeria. Not until these measures are considered and put to work, the demands of the dollar cannot be reduced,” he added.

He also said government, as a matter of urgency, needs to stabilize and fix the economy for Naira to fit in and appreciate.

“This is because the rise in the cost of goods and services is determined by the free fall of Naira, and the use of Dollar in her local markets has definitely useless the Naira,” he stated.

Source: https://dailypost.ng/2024/02/27/naira-fall-consider-bringing-back-fuel-subsidy-group-urges-tinubu/