I heard and seen a lot of divergent views of the subdisy removal, it's timing and how Tinubu's government should have done it.

As someone that has been advocating for its removal since I discovered how we were subsidizing our neighbors petrol and how we as a people were being scammed to thr tune of trillions of naira on this matter, it was an inevitable and uncomfortable path we had to take.

From Cameroon to Cotonou, Nigerian petrol that had already been partly paid for by successive governments was still being resold to in other countries since it was cheaper that other sources.

That creates a pro-smuggling scenario which many continued to exploit for their own personal gain to the detriment of regular Nigerian.

All th3 gist about how it should have been gradual is irrational IMO so I won't even bother with that aspect. You don't announce the day of arrest of a criminal to him especially bearing in mind the criminal has friends in your office.

Will it be a tough time for us? Yes.
But only in the short term.
But we can handle it....eventually.
Some things will change but cest la vie.

The harsh reality we have been shielded from for so long is that we have never actually paid full price for petrol. Even before the current global economic down turn, our friends in Ghana were paying NGN 360 per litre. When it went over NGN they screamed blue murder and took to the streets.

But even at NGN 500 we are still cheaper than most places.

If we truly want progress for our country, the truth is we must change some of our economic and fiscal policies. This is just one of thr ones that have to change.
Until we embrace this truth we are not ready change are we are just paying lip service to wanting a Nigeria that is like Dubai etc.

Or maybe thisbis what we really are: good talkers who don't realize the implications of what we are saying.

Many of us clamored for 24 hour electricity and berated PHCNs ineptidude. Until PHCN gave some areas 22 hours electricity on premium plans and they discovered a measure of the true cost of having electricity all day. Some friend of mine pay over NGN 100,000 per month for electricity on their prepaid meters.

For me, it's time for us the embrace some harsh truths in the belief that when we tell ourselves the truth and act from the standpoint of reality, only then can we develop as a nation.

Next up? Removing the dual exchange rates we have so that some people can stop borrowing dollars from CBN, selling ro BDCs at black market rate and refunding at CBN rates and call themselves businessmen. (I didnt mention any names o)

P.S.

The article below from BusinessDay summarizes the rest of my thoughts. Everyone should read it to understand how we have been doing big brother to our detriment.

https://businessday.ng/energy/article/subsidy-removal-spoils-west-africas-stolen-petrol-market/

The one BIG flaw in the subsidy removal thing is this:
Just because government makes or saves a trillion naira does not mean any of it will trickle down to the common man.
Subsidy, though inefficient, though somewhat wasteful, is the ONLY thing that GURRANTEES the little man gets a piece of the pie. He can SEE it kolokolo when he makes purchases of everything due to the multiplier effect of price of oil.

Semantics. If the primary worry you have about the subsidy removal is neighboring countries, fix your customs and border patrol.

Subsidy is the only thing the FG gives to the citizens without which would cause a chaos because of the low buying power popular with the citizens...


First of account make critical account of what the accruals from the removal of kerosense subsidy was used for.



If a private citizen can build a refinery within five years. A 3.2km road was built to link SE and SS. Why is building new refineries to take care of the country's need difficult to do or a thorough rehabilitation of the previous ones that have repeatedly refused to become operational. Are radioactive isotopes no longer used in pipe flows to track leakages to identify damaged sections of the refineries so that they can get fixed



Nigerians and their penchance for.unintelligent leaders

DaddyCoool:
The one BIG flaw in the subsidy removal thing is this:
Just because government makes or saves a trillion naira does not mean any of it will trickle down to the common man.
Subsidy, though inefficient, though somewhat wasteful, is the ONLY thing that GURRANTEES the little man gets a piece of the pie. He can SEE it kolokolo when he makes purchases of everything due to the multiplier effect of price of oil.

I agree with your concern.

However, we can't continue to use another wrong to cushion the effect of one wrong.

It's not a situation with easy answers but the removal is a move into he right direction.

Wodu89:
Semantics. If the primary worry you have about the subsidy removal is neighboring countries, fix your customs and border patrol.

Subsidy is the only thing the FG gives to the citizens without which would cause a chaos because of the low buying power popular with the citizens...


First of account make critical account of what the accruals from the removal of kerosense subsidy was used for.


If a private citizen can build a refinery within five years. A 3.2km road was built to link SE and SS. Why is building new refineries to take care of the country's need difficult to do or a thorough rehabilitation of the previous ones that have repeatedly refused to become operational. Are radioactive isotopes no longer used in pipe flows to track leakages to identify damaged sections of the refineries so that they can get fixed



Nigerians and their penchance for.unintelligent leaders

Everyone that I know that has put forward your argue (which I am not debating ) has also failed to put forward a better alternative.

The private individual you mention who put up a refinery in 5 years is hogwash for me because he did it by for 'round-tripping' and it is yet to solve the problem.

Building refineries is a medium to long term solution for an immediate problem we have. A new government just came in and you propose they ONLY take a long term approach to solve a problem which must be resolved in the short term? How does that work?

drphantom:


I agree with your concern.

However, we can't continue to use another wrong to cushion the effect of one wrong.

It's not a situation with easy answers but the removal is a move into he right direction.

Let's say instead of removing subsidy, we add more subsidies - we subsidize everything common folks use while raising taxes on everything the rich use. What do you think will happen?

DaddyCoool:


Let's say instead of removing subsidy, we add more subsidies - we subsidize everything common folks use. What do you think will hapoen?

Where do we get the money from?

There is a reason communism has never worked in practice

drphantom:




Everyone that I know that has put forward your argue (which I am not debating ) has also failed to put forward a better alternative.

The private individual you mention who put up a refinery in 5 years is hogwash for me because he did it by for 'round-tripping' and it is yet to solve the problem.

Building refineries is a medium to long term solution for an immediate problem we have. A new government just came in and you propose they ONLY take a long term approach to solve a problem which must be resolved in the short term? How does that work?

Critique intellingelt na. What are you trying to say

drphantom:


Where do we get the money from?

There is a reason communism has never worked in practice

We get it from highly taxing things mostly used by the rich and our corrupt, thieving, lying, politicians - uncle BAT being typical example.
About communism, well, Nigeria is not richer than Russia or China!