The National Publicity Secretary of the All Progressives Congress, Felix Morka, has clarified that President Bola Tinubu did not independently decide to scrap Nigeria's fuel subsidy. According to Morka, the policy had already been legislated by the National Assembly before Tinubu assumed office. This statement was made during an interview on Arise News, where Morka defended the Tinubu administration's decision to end the petrol subsidy.
Morka's comments were in response to criticism from former Vice-President Atiku Abubakar and his political allies. The APC spokesman emphasized that the National Assembly under the previous administration had already removed the subsidy and made no budgetary provision for its payment in 2023. As a result, President Tinubu simply announced what the National Assembly had legislated.
The APC spokesman further explained that Nigeria's financial situation at the time made it increasingly difficult for the government to continue funding the subsidy. The Nigerian National Petroleum Company Limited was not contributing funds to the national treasury when Tinubu took office. A significant portion of the country's earnings was being consumed by subsidy payments and debt servicing.
Morka highlighted that more than 93 per cent of Nigeria's earnings was going towards subsidy payments and debt servicing, making the continuation of the policy financially unsustainable. He argued that removing the subsidy inevitably came with economic consequences because Nigerians had become dependent on artificially low fuel prices.
According to Morka, maintaining the old subsidy regime would also have continued to create opportunities for corruption and rent-seeking. He argued that the country would have faced even greater economic difficulties if Tinubu had chosen not to end the policy. Morka emphasized that the president's decision was necessary to prevent further economic damage.
Morka also accused Atiku and his spokesperson of deliberately appealing to Nigerians' emotions when discussing the subsidy issue. He maintained that they understood the economic circumstances surrounding the policy but preferred to present the matter differently for political reasons.
The APC spokesman concluded that President Tinubu's decision to end the fuel subsidy was a necessary step to prevent further economic damage. He emphasized that the country would have faced long-term economic consequences if the subsidy had continued.
Key points
- The National Assembly had already legislated the removal of fuel subsidy before President Tinubu assumed office.
- Nigeria's financial situation made it difficult for the government to continue funding the subsidy.
- Removing the subsidy inevitably came with economic consequences due to Nigerians' dependency on artificially low fuel prices.
