The International Institute for Petroleum, Energy Law and Policy (IIPELP) says Nigeria is toeing the path of bankruptcy if it continues to subsidise importation of petroleum products under the Petroleum Support Fund (PSF) scheme.
IIPELP, a think-tank that provides institutional and structural support to the energy sector in Africa, warned that the country could go bankrupt in a matter of months if it continues to regulate domestic price and consumption of petrol by her citizens.
Speaking in an exclusive interview with Thisday, IIPELP’s President, Prof. Niyi Ayoola-Daniel said the incoming government of Muhammadu Buhari will find it difficult to sustain the scheme.
“When people queue at filling stations for two days to buy fuel, you have effectively taken out their sources of livelihood because those days are wasted. If subsidy continues, it can shut down Nigeria’s economy because we cannot continue to subsidise such consumption to the detriment of our economy,” Ayoola-Daniel said.
“This game of subsidy has been a political one and has not been played on the rings of economic data, neither is it fact-driven. It is emotionally driven and politically played by those people that use it as a political tool and we cannot continue like this.”
“Government will have to stay clear of the downstream petroleum sector because it can run itself but when government decides to interfere, it creates dysfunctionality in that the subsidy regime is a key problem to the sector. Subsidy is strangulating free market enterprise and when government does not fix the price of the primary product which is crude oil, how then does it intend to fix the price of the by-products.
“When government does not allow the downstream sector to operate in a commercial framework that allows for healthy competition as seen in the telecoms sector, there will continue to be queues at our filling stations,” the IIPELP president added.
Ayoola-Daniel also faulted arguments in support of fuel subsidy which says that it is pro-poor. “The arguments mostly proposed in support of subsidy and which is always at the heart of its continuation is that it is pro-poor, it may be a fair one but as long as there are long queues in our filling stations, then we are compounding the problems of the poor because the real beneficiaries of the subsidy are not the poor at all but the middlemen and rent seekers.”
Nigeria’s Communications Minister, Isa Pantami, Loses 13-year-old Daughter
Minister of Communications and Digital Economy, Isa Ali Pantami, has announced the loss of his 13-year-old daughter, Aishah Isa Ali.
The Minister took to his Twitter account on Monday night to announce this sad news.
Pantami stated that the funeral prayer for the deceased will be conducted in Abuja on Tuesday at Annur Masjeed, Wuse 2.
The post by the minister announcing the incident reads; “Inna lil Laahi wa inna ilaiHi Rajiun! My 13-year old daughter, Aishah Isa Ali (Amal) passed away just a moment ago.
“Due to some necessities, funeral prayer tomorrow at Annur Masjeed, Wuse 2, immediately after Zuhr prayer In sha Allah. May Allah forgive and be merciful to her.”
Inna lil Laahi wa inna ilaiHi Rajiun!
My 13-year old daughter, Aishah Isa Ali (Amal) passed away just a moment ago.
Due to some necessities, funeral prayer tomorrow at Annur Masjeed, Wuse 2, immediately after Zuhr prayer in sha Allah. May Allah forgive & be Merciful to her.
— Isa Ali Pantami, PhD (@DrIsaPantami) November 23, 2020
Cult Violence: Wike Imposes Two-Week Curfew Around Okoro-Nu-Odu
Governor Nyesom Wike of Rivers State has imposed a 24-hour total curfew for two weeks on some parts of Port-Harcourt, the state capital.
The Governor made this known during a broadcast on Sunday where he noted that the curfew begins from Monday 23rd November 2020.
The statement noted that the upsurge noticed by the state government in cases of cult activities, other forms of violence, and killings is responsible for the curfew.
Wike in the statement declared that the entire area along and around the Okoro-nodu flyover up to a one-kilometre radius from Saint Emmanuel Anglican Church, Rumuokoro, extending to the Rumuodomaya Slaughter and Local Government daily market will be affected.
He added that no form of trading, human or vehicular movement is allowed in the affected areas until further notice.
Zamfara Governor Secures Release Of 11 Kidnapped Victims
Governor of Zamafara, Bello Matawalle has announced the release of 11 kidnapped victims.
According to reports, ten of the victims were male and a female from Bukkuyum Local Government Area.
Matawalle received the rescued kidnapped victims on Saturday night at the Government House in Gusau, the state capital.
The Commissioner of Security and Home Affairs, Abubakar Muhammed Dauran revealed that the victims were released without paying a ransom.
He stated they were released as a result of the peace initiative and stakeholders meeting summoned by Governor Matawalle with all critical stakeholders from Bukkuyum Local Government Area on Thursday.
Governor Matawalle assured that his administration will not rest on its oars until total peace is achieved in all parts of the state.
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