The African Democratic Congress, ADC, presidential running mate, Rotimi Amaechi, has clarified that the party's presidential candidate, Atiku Abubakar's proposed restoration of fuel subsidy will not enrich a few wealthy Nigerians if elected president. Speaking at a town hall meeting in Edo State, Amaechi emphasized that the fuel subsidy would target owners of refineries and modular refineries in Nigeria. This move aims to ensure that the subsidy benefits the intended parties, rather than a select few.
According to Amaechi, Atiku will restore a production-based subsidy if elected president in 2027. The subsidy will be designed to support refinery owners, with the government not paying for the subsidy. Instead, the government will make a policy that allows for domestic pricing of crude oil. This means that the price at which the Nigerian government sells crude oil on the international market will differ from the price charged in the domestic market.
The former Minister of Transportation explained that the government will sell crude oil to refinery owners at a lower price, with the difference being used as a subsidy. For instance, if crude oil is sold at N15,000 on the international market, it will be sold to Dangote at N10,000 in Nigeria. The difference of N5,000 will then be used as a subsidy, which Dangote will provide to bring down the price of fuel.
Amaechi stressed that the goal of this policy is to bring down the price of fuel and subsequently reduce the prices of other goods. By doing so, the government aims to alleviate the burden of high fuel prices on Nigerians. The proposed subsidy restoration has been a topic of discussion, with some critics accusing Atiku of planning to use the subsidy to enrich a few wealthy individuals.
However, Amaechi has assured Nigerians that the subsidy will not be used for such purposes. Instead, it will be targeted at refinery owners who are contributing to the country's fuel production. This move is expected to increase the availability of fuel in the country and reduce the reliance on imported fuel.
The ADC's presidential candidate, Atiku Abubakar, has been vocal about his plans to revamp the country's fuel subsidy regime. His proposal has sparked debate among Nigerians, with some supporting the idea of restoring the subsidy and others opposing it. Amaechi's clarification on the matter has helped to alleviate concerns that the subsidy will be used to enrich a select few.
The town hall meeting in Edo State was an opportunity for Amaechi to engage with Nigerians and address their concerns about the proposed subsidy restoration. The meeting also provided a platform for Amaechi to outline the ADC's plans for the country's economic development, including the proposed fuel subsidy regime. The ADC's plans aim to promote economic growth and alleviate poverty in Nigeria.
Key points
- Atiku Abubakar's proposed fuel subsidy restoration targets refinery owners, not wealthy individuals.
