CRASH IN OIL PRICE: This is the right time to stop fuel subsidy —Enang

The Senior Special Assistant to the President on Niger Delta Affairs, Sen. Ita Enang, Thursday urged the Nigerian government to capitalise on the decline in the price of crude oil in the international market to stop payment of oil subsidy and improve the country’s refining capacity

Enang, who stated this at a forum in Abuja, said Nigeria must now focus on how to start local refining of products to enhance economic development.

The presidential aide said: “It is time for Nigeria to abandon the subsidy fully, increase and engage with these modular refineries.

“I want to say that subsidy in the petroleum product is not sustainable in any economy and it is worse now because you subsidize imported refined petroleum products from the earnings you get from crude oil sales.

“If the price of crude oil is very low, then you have very less income for which you can do other things, therefore, if you want to subside products, you have to think of many things.”

READ ALSO: Nigerian govt’s importation of Chinese doctors into Nigeria is leadership irresponsibility —Melaye

According to him, the situation where government subsidize products was no more sustainable with the current development in the global oil market.

“Nigeria has the best chance now to grow its own industry, its own petroleum refining industry, there has never been a better time,’’ he added.

The Group Managing Director (GMD) of the Nigerian National Petroleum Corporation (NNPC), Malam Mele Kyari, had during the week said the Federal Government would stop payment of subsidy due to the impact of COVID-19 on the global oil market.

Join the conversation

Opinions

Support Ripples Nigeria, hold up solutions journalism

Balanced, fearless journalism driven by data comes at huge financial costs.

As a media platform, we hold leadership accountable and will not trade the right to press freedom and free speech for a piece of cake.

If you like what we do, and are ready to uphold solutions journalism, kindly donate to the Ripples Nigeria cause.

Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.

Donate Now