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Tinubu Advocates Removal Of Petrol Subsidy

Channels Television  
Updated December 18, 2015

tinubu on Petrol SubsidyA former Governor of Lagos State and National Leader of the All Progressives Congress (APC), Bola Tinubu has advocated the removal of petrol subsidy as a way to address the perennial fuel scarcity in the country.

Mr Tinubu made the pronouncement in Kaduna State as a Guest Speaker at the 10th year memorial anniversary seminar for late Dr Bala Usman on Friday.

He argued that the sustenance subsidy on petroleum products had favoured only the privileged few while the majority of other Nigerians wallow in hunger and poverty, hence the time has come for its removal.

The National Leader of the APC explained that monies saved from subsidy removal could be used to revive the nation’s refineries, reactivate the rail transport system and provide other basic infrastructure for the citizens.

Meanwhile, The Nigerian government had said that contrary to speculations, it is not interested in the removal of subsidy on petroleum products, but rather a price modulation that will reduce its involvement in pricing starting 2016.

The Minister of State for Petroleum, Dr Ibe Kachikwu, briefed reporters of the government’s position on Thursday.

Dr Kachikwu said that a periodical review of the Petroleum Pricing Template and a flexible management of the pricing system would be considered.

He said that the review would allow marketers to trade freely and reflect prevailing international price of crude.

According to him, the review would be the key focus in the first quarter of 2016.