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[OPINION] Subsidy removal: The price of progress - Ronke Bello
Historically, Nigeria has played a significant role in the global oil industry as a major producer. However, one notable challenge the country has faced is its limited refining capacity.
In a recent independent audit report released by the Nigeria Extractive Industries Transparency Initiative (NEITI), it was revealed that over N13.697 trillion ($74.3862 million) was disbursed as subsidies to marketers between 2005 and 2012.
This situation has had severe repercussions on Nigeria’s economy, leading to substantial debt accumulation. The total amount paid out in fuel subsidies from 2005 to 2021 is equivalent to the combined budgets allocated for sectors such as healthcare, education, agriculture, and defense.
Addressing this issue of fuel subsidies is crucial for Nigeria’s economic stability and sustainable development.
Here are seven important facts to know about the ongoing removal of fuel subsidy.
- Fuel subsidy removal means that the government stops providing financial support to reduce the cost of fuel for consumers.
- The purpose of removing fuel subsidy is usually to reduce government spending and promote more efficient use of resources.
- When fuel subsidy is removed, it often leads to an increase in fuel prices, meaning that people have to pay more for petrol.
- Removing fuel subsidy can help the government save money and allocate resources to other important areas such as education, healthcare, or infrastructure.
- Fuel subsidy removal can also encourage people to use less fuel or explore alternative energy sources, which can have environmental benefits.
- The decision to remove fuel subsidies is often part of broader economic reforms aimed at improving the overall health of the economy.
- The impact of fuel subsidy removal can vary across different income groups, with lower-income individuals and families potentially facing more significant challenges due to the increased fuel costs, but it is important to note that the success of fuel subsidy removal depends on effective communication, transparent policies, and the implementation of measures to support vulnerable groups during the transition by the government.
Arabinrin Aderonke, an award-winning investigative journalist, good governance, gender rights, and peace advocate, writes from Abuja. She can be reached via This email address is being protected from spambots. You need JavaScript enabled to view it.
‘Stop Criminalising Civil Matters’ — IGP Warns Officers Against Interfering In Land, Marital Cases
Usman Baba, the inspector-general of police (IGP), has warned police officers against interfering in land and matrimonial cases.
At a meeting with senior officers on Monday, Baba spoke about the menace of criminalising civil matters by police personnel.
The IGP added that his leadership would not tolerate the “continuous violation” of the force regulations, especially the social media policy.
“Another critical issue to deliberate upon at this meeting is the menace of criminalising civil matters by police officers,” he said.
“Since the commencement of my administration as the inspector-general of police, I have maintained a stand and rolled out several directives and correspondences to abreast you all on the need to streamline our investigations and caution officers and men against meddling with civil matters such as land cases, debt collection, matrimonial case and matters already pending in court.
“It is the same reason why I forbid transferring of cases from lower commands to higher ones indiscriminately,” he added.
The IGP said 3,619 suspects were arrested for various crimes across the country between January and May.
“Three hundred and sixteen victims of kidnapping were rescued during the same period, while 486 assorted firearms consisting of AK-47 rifles and locally fabricated automatic weapons were recovered,” he said.
“Equally, 4,072 assorted calibres of live ammunition and other incriminating items linked to various major crimes were also recovered within the same period.”
Fuel Subsidy Removal : Oyo Govt Constitutes Salary Review Committee
Oyo State Governor, Engr Seyi Makinde, has constituted a committee to review workers’ wages in the state.
The committee, which was constituted during a meeting with labour leaders in the state at the Executive Chambers, has eight weeks to turn in its report.
This is contained in a statement Governor Makinde’s Chief Press Secretary, Suleiman Olanrewaju, stating that following the removal of subsidy on Premium Motor Spirit (PMS), it became imperative for the government to take another look at the salary structure to cushion its effects on workers.
He said, “For us, with all sincerity, I think it is time to engage and ensure that we are proactive, irrespective of what is coming from the federal level. We are already prepared for it here and we can run our own programmes.
“Yes, the fuel subsidy removal is going to affect all of us but we do have control over certain things in Oyo State, and one of these is to be proactive and engage ourselves. They may call for strike or certain actions at the federal level but the labour leaders in Oyo State must be aware of our own situation.
“So, we must appreciate the fact that our economy is fragile. We must be proactive and set the tone without prejudice to whatever negotiation that is happening at the federal level.”
At the meeting attended by Oyo State chairman of Nigeria Labour Congress (NLC), Kayode Martins and his Trade Union Congress counterpart, Olatunbosun Olabiyi, the governor also said, “I can say it to the whole world that in Oyo State there is no trust deficit between the government and labour leaders. It actually goes both ways. If we agree on what to do, I don’t look back, and if you have my commitment on anything, you should not look back. Whatever that is happening at the national level should not create any trust deficit between us. So, I welcome you all to Omituntun 2.0.”
The Governor also seized the opportunity to express his appreciation to the Labour leaders for their support during his first term in office.
In his reaction, the NLC chairman said minimum wage review was overdue. He then called on the state government to work towards its quick realization.
The meeting had in attendance Labour unions leaders, the Deputy Governor, Barrister Bayo Lawal; Head of Service, Bunmi Oni; former Deputy Governor, Ambasador Taofeek Arapaja; former Speaker of Oyo State House of Assembly, Senator Monsurat Sunmonu; former Special Adviser on Labour, Bayo Titilola-Sodo; wife of former governor, Alhaja Mutiat Ladoja; and traditional leaders, among others.
EFCC Arraigns 2 Bank Staff, Others For Stealing Customer’s N20m
The Economic and Financial Crimes Commission, EFCC, on Monday arraigned two bankers, Freeman Austin Jacob and Umar Abdullahi and two others – Ahmed Bashir and Abdulhakim Musa (aka Gandu) before Justice Simon Akpah Amobeda of the Federal High Court, Kano on a three count charge of conspiracy and stealing.
The defendants allegedly conspired among themselves to produce an ATM card in the name of one Sani Muntari and used same to steal the sum of N20 million from his bank.
The defendants perpetrated the fraud by using the SIM card of the account holder which was stolen by Mr Bashir, the third defendant, to produce an ATM card with the help of the first and second defendants.
Investigation traced some of the proceeds of the theft to the bank account of the fourth defendant, Abdulkarim Musa, a friend to the third defendant, Ahmed Bashir.
One of the charges reads, “That You, Freeman Austin Jacob, Umar Abdullahi, sometime in February 2020, at Kano within the jurisdiction of this Honourable Court, connived with Ahmed Bashir and Abdulhakim Musa (aka Gandu) to prime and issue ATM card from UBA account no 2062903187 belonging to one Alhaji Sani Mutari without the knowledge or consent of the said customer and thereby committed an offence punishable under Section 14 (7) of the Cybercrimes (Prohibition, Prevention, Etc,) Act, 2015.
All the defendants pleaded not guilty after listening to the charge.
Counsel for the prosecution, Aisha Tahar Habib requested that the defendants be remanded and urged the court to fix a date for the commencement of trial.
Counsel representing the 1st and 2nd defendants made an oral bail application on behalf of his clients which was opposed by the prosecution counsel on the grounds that the application ought to formal.
L.A Umar who represented the 4th defendant informed that she intends to file a formal bail application and subsequently prayed the court for a date to do same and serve the prosecution.
After listening to the submissions of the parties, Justice Amobeda agreed with the prosecution that bail applications should be made formally as the court is a court of record.
He subsequently remanded the defendant and adjourned the matter till June 26, 2023 for hearing of bail applications and commencement of trial.
Vice President’s Wife Rejected ADC Assigned To Her
Amid claims that Nana Shettima, wife of Vice President, rejected a female Aide-De-Camp (ADC) assigned to her, a former aspirant for the post of the national youth leader of the All Progressives Congress (APC), Ameen Amshi, explained why.
Recall that a news report making rounds on social media alleged that the vice president’s wife had rejected the orderly, stating that she is very beautiful and single at the time same.
However, Our correspondent could not ascertain when the lady was assigned to the vice president’s wife.
But reacting to the claims in a statement shared via Twitter handle on Sunday, Amshi claimed Nana only turned down the orderly because she preferred her former ADC who served her during her husband’s reign as Borno State governor.
“It is important to correct the news of the alleged rejection of a female police ADC by HE Nana Shettima, Vice President’s wife, during her inauguration. The news has been circulating on social media, but it is not accurate,” Amshi tweeted.
He continued: “Assigning security details or aides to VIPs follows specific procedures that vary across security agencies. It is a process that involves selecting at least three competent personnel and scrutinizing their service records. The most suitable candidate is then presented to the VVIP/VIP for approval, and upon acceptance, the personnel is officially assigned to the individual.
“It’s worth noting that HE Nana Shettima is not new to the corridors of power and has previously worked with an ADC when she served as the governor’s wife for eight years in Borno. Therefore, the same ADC who worked with her in Borno as the governor’s wife was present at her inauguration.
“The Shettima family is known for maintaining long-term relationships with their staff and workers, like retaining the security details that served the Vice President when he was Governor. Given this track record, it’s unlikely that his wife would act differently, and she has always prioritized following due process in her official dealings, including assigning security personnel to VIPs and VVIPs.”
Peter Obi: Presidential Tribunal Admits More Polling Unit Results From Eight States As INEC, Tinubu Raise Objection
The Presidential Election Petition Court sitting in Abuja on Monday, admitted as exhibits, more certified true copies of polling unit results (INEC Form EC8As) tendered by the presidential candidate of the Labour party, Peter Obi, in eight states.
Again, the admissibility of the documents were objected to by the Independent National Electoral Commission, Bola Tinubu, Kashim Shettima and All Progressives Congress, APC.
Obi is disputing the presidential election results declared in favor of President Tinubu in over 17 states and over 18,000 polling units with his petition also alleging overvoting in parts of the South West.
Before today’s proceedings, Obi’s legal team has tendered INEC Forms EC8As for 12 states, including Rivers, Niger, Adamawa, Bayelsa, Oyo, Edo, Lagos, Akwa Ibom, Benue, Cross River and Ekiti states.
This is apart from five documents earlier tendered as evidence, including a United States District Court judgement on Tinubu’s forfeiture of 460,000 US dollars allegedly linked to drug trafficking.
Objections were raised against all the documents by the Independent National Electoral Commission, Tinubu, Kashim Shettima and the All Progressives Congress.
At the resumption of sitting on Monday, Chief Ben Anichebe SAN told the five-man panel of the court led by Justice Haruna Tsammani, that he would be continuing with the tendering of INEC certified Forms EC8As and some EC8C and EC8D (as they are available) for 8 states.
He went on to tender the INEC Form EC8As(polling unit results) for Ebonyi state with 13 LGAs (Exhibit PP1- PP13), Nasarawa (13 LGAs), Delta (25 LGAs), Kaduna State(23 LGAs), Imo (26 LGAs).
When Dr Mrs Valerie Azinge SAN took over from Anichebe, she tendered CTC of polling unit results for Ondo (18 LGAs), Sokoto (7 LGAs) and Kogi states(21 LGAs).
Lawyers representing the INEC, Tinubu, Shettima and APC, opposed admission of the documents sought to be tendered, saying the reasons for their opposition will be advanced before their final address.
Justice Tsammani subsequently admitted the polling unit results as evidence while marking them as Obi’s exhibits against the respondents.
Earlier in the proceedings, a member of Obi’s legal team, P.I. Ekweto SAN brought to the attention of the court to an interrogatory application which they filed seeking certain answers from INEC regarding accessing electoral materials.
He argued that for the petitioners’ case, the issues and answers the team seek to extract from INEC are germane for the trial.
“I am aware that before your pre-hearing report on May 23 , before that date, the petitioners’ filed an application on May 22 seeking leave to serve or deliver interrogatories on the first respondent.
“There are indeed about 12 questions which we indeed put down for them in that application.
“On the June 2, we filed an application for my lord’s leave, to enable us hear the application outside the pre-hearing session,” he said, praying the court to grant it urgently in view of the time bound nature of the PEPC.
But counsels for INEC and Tinubu opposed the application saying they are still within time to file their responses.
INEC counsel, A.B. Mahmoud described the application as a waste of time.
The panel held it would rule on it after the respondents have responded to the application.
The case was subsequently adjourned to Tuesday for continuation of hearing.
Last week, Mr Obi tendered electoral documents comprising result sheets from 12 states of the federation.
Despite winning the presidential election in Lagos, Nasarawa, Delta, Ebonyi, Imo and other states, Mr Obi argued that votes accruing to him were significantly suppressed in favour of Mr Tinubu.
Also, in aid of his case, the Labour Party candidate has called one witness.
He had indicated his intention to call 50 witnesses and tender tons of electoral documents to substantiate his claims of rampant fraud during the presidential election on 25 February.
Mr Obi has three weeks to prove his case against INEC, Mr Tinubu and the APC respondents in the suit.
Police arrests teacher accused of raping 27 female students
A Senegalese Koran teacher suspected of raping 27 of his female students was arrested on Monday after several weeks on the run, a police source told AFP.
The man is accused of assaulting the students at his school in the holy city of Touba in central Senegal, a local police official said.
The suspect went missing after the accusations emerged earlier this year following a complaint from alleged victims who produced medical certificates, the source added.
He was arrested on Monday “after handing himself over to the police. After questioning, he was handed over to the gendarmerie,” the official said.
The source said the teacher is accused of “raping 27 students” but did not provide precise details on the dates of the alleged crimes or the age of the complainants.
Local media reported that the alleged victims were “minors”, implying they were under 15, and that the Koranic school has been closed.
The newspaper “Le Jour” wrote last week that the affair came to light when one of the girls refused to return to the school, where students learn about Islamic teachings, because the teacher “had sexual relations with her and all the other girls”.
Touba is considered a holy city by the Mourides, a major Islamic brotherhood in the Muslim-majority West African country.
The arrest comes after opposition figurehead Ousmane Sonko was sentenced to two years in jail for inciting a young woman to “debauchery”, although he was cleared of a rape charge.
Sonko’s legal battles over the rape allegations had captured media attention for two years, but the issue of sexual violence faded into the background as the affair became increasingly politicised.
Senegal criminalised rape in 2020.
TUC Wants FG To Increase Workers’ Minimum Wage To N200,000
In the wake of grievances over the removal of fuel subsidy, the Trade Union Congress of Nigeria has demanded an increase in the national minimum wage from N30,000 to N200,000.
The demands which has already been forwarded to the Federal Government, is part of conditions being put forward by the labour union to shelve it proposed strike, in the wake of the sudden removal of fuel subsidy by government.
A list of other demands is contained in a joint statement signed by Comrade Festus Osifo, President TUC and Comrade Nuhu Abba Toro, Secretary General, respectively, which was also made available to our reporter on Monday.
TUC also wants government to revert back to the old fuel pump prices of N195 while negotiation continues.
“Minimum wage should be increased from the current N30,000 to N200,000 before the end of June 2023 with consequential adjustment on Cost of Living Allowance (COLA), like feeding, transport, housing,” TUC stated.
The Union said a representative of state governors will be party to this new minimum wage and all the governors must commit to implement the new wage.
It also wants tax holiday for employees both in government and private sector that earn less than N200,000 or 500USD monthly whichever is higher.
” We want PMS Allowance to be introduced for those earning between N200,000 to N500,000 or 500USD to 1,200USD whichever is higher.
“The Exchange rate for retailing PMS in the country must be kept within a limit of +- 2% for the next ten (10) years where the fluctuation is more that 2%, the minimum wage will automatically increase at the same rate.
“Setting up of intervention fund where government will be paying N10 per liter on all locally consumed PMS. The primary purpose of this fund is to solve perennial and protracted national issues in education, health and housing. A governance structure that will include labour, civil society and government will be put in place to manage the implementation.
“Federal government should provide mass transit vehicles for all categories of the populace.
“State Governments should immediately set up a subsidized transportation system to reduce the pressure on workers and students. The framework around this will be worked out.
“Immediate review of the National Health Insurance Scheme to cover more Nigerians and prevent out of stock of drugs.
“Visitation of the refineries that are currently undergoing rehabilitation to ascertain state of work and Setting up timeline for its completion.
“The president should direct who ever will be labour minister to immediately constitute the National Labour Advisory Council (NLAC). This platform will be used by government, Labour and employer to discuss issues and policies of government that may affect workers and all other mandate as specified in the law.
“Provision of subsidy directly for food items, the 800million dollars could be a first step.
“The existing National Housing Fund (NHF) should be made accessible to genuine workers; the framework on this must be discussed and agreed.
“Medium Term, Deployment of Compressed Natural Gas (CNG) across the country in line with the earlier promise made by government. The framework and timeline will be developed and agreed by both parties.
“Labour and government to design a framework that will be geared towards the reduction of cost of governance by 15% in 2024 and 30% by 2025.
“A framework should be immediately put in place to maintain the road and expand the rail networks across the country. Government must design a framework for social housing policy for workers through Rent to Own System.
“The state of electricity in the country must be appraised and an action plan should be defined with time lines on how to get this fixed. A strong monitoring team comprising of all parties will be constituted,” the statement added.
Court Restrains NLC, TUC From Embarking on Strike Over Fuel Subsidy Removal
Hon. Justice Olufunke Anuwe of the Abuja Judicial Division of the National Industrial Court of Nigeria has granted an order restraining the Nigeria Labour Congress and Trade Union Congress of Nigeria from embarking on the planned Industrial Action/or strike of any nature, pending the hearing and determination of the Motion on Notice dated 5th June 2023.
The Court ordered that the Nigeria Labour Congress and Trade Union Congress of Nigeria be immediately served with the processes in the suit, the Motion on Notice and the order of the court and fixed the matter for hearing for 19th June 2023.
Justice Anuwe made the order sequel to an ex-parte application filed by the Federal Government and the Attorney-General of the Federation & Minister of Justice.
The applicants- The Federal Government and the Attorney-General of the Federation & Minister of Justice had submitted that the proposed strike action is capable of disrupting economic activities, the health sector and the educational sector; and may gravely affect the larger society and indeed the well-being of the nation at large.
Counsel to the FG, Maimuna Lami Shiru Esq and 4 Others submitted that students of Secondary Schools nationwide, especially those writing WAEC exams will be affected; the Tertiary institutions who have only just resumed after a long ASUU strike will also be affected, not leaving the health sector, amongst other sectors; and above all, the economy of the nation.
Subsidy: NLC, TUC Suspend Nationwide Strike
THE Organised Labour made up of the Nigeria Labour Congress, NLC, and the Trade Union Congress of Nigeria, TUC, yesterday agreed to suspend its planned strike scheduled to begin tomorrow to enable further negotiations with the Federal Government.
This was part of the resolutions reached at the end of the meeting late yesterday evening.
Monday’s meeting and resolution were attended and signed by Mr Femi Gbajabiamila, Chief of Staff to the President; Festus Osifo, President, TUC; Nuhu Torò, Secretary General, TUC; Joseph Ajaero, President, NLC; Emmanuel Ugboaja mni, General Secretary, NLC and Ms Kachollom S. Daju, Permanent Secretary, Federal Ministry of Labour and Employment.
Other resolutions arrived at the meeting include: “Continued engagements by the TUC and the NLC with the Federal Government and secure closure on the resolutions above.
“The Labour Centres and the Federal Government are to meet on June 19, 2023, to agree on an implementation framework.
According to the Negotiating Committee, the Federal Government, the TUC and the NLC are to establish a joint committee to review the proposal for any wage increase or award and establish a framework and timeline for implementation.
•The Federal Government, the TUC and the NLC to review the World Bank Financed Cash transfer scheme and propose the inclusion of low-income earners in the program.
•The Federal Government, the TUC and the NLC to revive the CNG conversion programme earlier agreed with Labour centres in 2021 and work out detailed implementation and timing.
•The Labour centres and the Federal Government to review issues hindering effective delivery in the education sector and propose solutions for implementation.
•The Labour centres and the Federal Government to review and establish the framework for the completion of the rehabilitation of the nation’s refineries.
•The Federal Government to provide a framework for the maintenance of roads and expansion of rail networks across the country.
•All other demands submitted by the TUC to the Federal Government will be assessed by the joint committee.