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By Adewale Sanyaolu
The Women in Energy Network (WIEN), has called on the Federal Government to speedily deliver on the gains of subsidy removal to reduce its attendant hardship on Nigerians.
A statement by the President WIEN, Mrs. Funmi Ogbue, said that the reapplication of the poorly managed fuel subsidy funds to creation of enhanced social services, development of facilities and infrastructure and enhanced electricity supply will yield greater impact in the social economy.
Ogbue said the group has keenly followed the emerging developments in the Nigerian domestic fuel market, especially the determination of the new administration of the Federal Government to activate the relevant sections of the Petroleum Industry Act 2021 that relate to market reforms. “We observe that the sensitive points in the reform process include removal of fuel subsidy, deregulation of retail prices and liberalization of players.
WIEN congratulates President Bola Ahmed Tinubu on his inauguration following the 2023 general elections. We are excited at the enthusiasm of the new president to carry out urgent reforms in the critical sections of the economy. This shows that he is prepared and determined to steer the country into the paths of rapid recovery and accelerated growth,”. However, WIEN posited that given the poverty level in the country and the strategic economic role of petrol in energizing homes and small businesses in the country, the polarisation of standpoints among stakeholders on the ogoing market reforms is understandable, normal and expected.
“WIEN gives sufficient consideration to the pains and shocks that will inevitably accompany the ongoing reforms in the market, especially with the fuel subsidy removal. We are convinced that the decision to permanently address the subsidy imbroglio is well intentioned and purposed to cause the much canvassed reforms in the market,”.
It added that the emerging domestic fuel market is the expected result of over 20 years of strong advocacy mounted by all stakeholders in the economy to dismantle public sector monopoly and guarantee broader opportunities for viable investments in providing the Nigerian business environment with wide ranging fuel options for home, social and business application. The body of women experts stressed further that deregulation of market prices and liberalisation of supply which are key prizes of the ongoing reforms will provide the highly needed congenial atmosphere for implementation of stalled programmes aimed at availing the economy new energy choices like natural gas products for transportation, power generation and industrial application.
According to WIEN, emerging commercial competitiveness in the market will undoubtedly spur local and international investments for the country’s Decade of Gas programme, boost production of new energy forms and solidify Nigeria’s position in the global movement towards low carbon energy. “The overall economic benefits in terms of employment, patronage of local goods and services, and ancillary small and medium scale business opportunities would far outweigh the poorly managed fuel subsidy which has created more damage to the economy and actually caused more suffering to the people.
WIEN argued that aderegulated and liberalized domestic fuel market will no doubt save money for government, enhance price competition, promote service efficiency, phase out perennial fuel scarcity and expand the capacity of the market to absorb more investments.
It stated further that it believes that Nigerians need more opportunities and ambient business environment than they need subsidies to thrive. This, it said, has been demonstrated by the large number of Nigerian youths who have migrated out of the country and succeeded in foreign lands where they are not direct beneficiaries of social security cover.
