The Nigerian Federal Government is considering the most appropriate approach to remove fuel subsidy without negatively impacting the welfare of Nigerians.
According to The Punch, the statement was made during a press conference at the conclusion of the Nigeria International Energy Summit by the Permanent Secretary of the Ministry of Petroleum Resources, Ambassador Gabriel Aduda.
He emphasized that the government intends to eliminate subsidies, but it cannot provide specific details until it has assessed all factors to prevent any negative effects on the ordinary citizens.
The President of Nigeria, Major General Muhammadu Buhari (retd.), who was represented by the Secretary to the Government of the Federation, Mr Boss Mustapha, inaugurated the summit.
The theme of the sixth edition of NIES, which took place between April 16 and April 20, was “Global Perspectives for a Sustainable Energy Future.”
According to Aduda, the Federal Government recognizes both the impact of removing subsidies and the welfare of its people.
Meanwhile, the government is currently evaluating the best approach to remove it without affecting the livelihoods of its citizens by ensuring the provision of necessary buffers and foreign exchange for imports.
In his words, “We totally understand the importance of removal of subsidy but we also understand the greater importance of the citizens in the scheme of things.
“As we speak we are still taking a very close look at how best to achieve subsidy without disrupting the entire ecosystem of livelihood in Nigeria.
“Because that is our responsibility as a government. We have to ensure that the buffers are in place and forex is made available for imports.
“We have to ensure that supply is available for a minimum of six months to make disruption minimal.”
According to the report, the permanent secretary noted that although several factors need to be considered, the government is dedicated to the subsidy removal.
To demonstrate its commitment, the 2024 NIES will begin with a review of the suggestions made in 2023 and their outcomes as outlined in the communique.
The list of accomplishments between 2022 and 2023, including the regulations created by the Nigerian Upstream Petroleum Regulatory Commission and Nigerian Midstream and Downstream Petroleum Regulatory Authority, will be included.
The NEIS recommendations will be used as a basis for policy implementation.
