nairalanda1:
1. Shows that APC has failed in diversifying the economy

2.Having said that, the man is right.

The problem with fuel subsides is simple. Let's use a hypothetical example.

Is it govt that should diversify economy or Nigerians?

A lot of Nigerians say that we should reduce fuel to N65 a liter. Well, in 2011, December, a liter of fuel was N65, while the landing cost was N99. So, we was paying N34 per liter of fuel.

Now, if we kept fuel at N65 a liter up to September 2022, when the landing cost was N500, we would have been paying about N435 per liter of fuel in subsidy.

Multiply that by our fuel consumption, then let's not forget that fuel consumption in 2011 is far less than fuel consumption now.

That means that all our budget money would go to subsidy plus more of our loans...

There is a reason why subsidy has to go.


(Obaseki is not in APC by the way).

BY THE ADOPTION OF FAPRES AND CTTRFG, PETROLEUM ROYALTIES, EXPLORATION AND EXPLOITATION WILL REVERT TO THE STATES OF FIND. THERE WILL BE NO NEED TO PAY SUBSIDIES.
THE STATES WILL WORK BY THEIR BUDGETS AND PAY TITHES TO THE FEDERAL GOVERNMENT ON THEIR REVENUE EARNINGS.