The Progressive Governors Forum (PGF) has stated that the current system of petroleum subsidies is not economically sustainable.
Friday at a briefing in Abuja, members of the forum expressed their support for President Bola Tinubu’s decision on the matter.
Governor Hope Uzodinma of Imo, speaking to State House correspondents following a meeting with the president, stated that the administration inherited the decision to eliminate petroleum subsidies.
He stated that Nigerians should now be discussing sustainable alternatives that would benefit every citizen and that the removal of subsidies was long overdue.
“Initially, presidential candidates assured Nigerians that they would remove petroleum subsidies during their campaigns. It is not a novel concept.
“The president merely stated that there is no allocation for subsidies in the 2023 budget beginning in June, and this is the actuality.
“As members of the economic team during the previous administration of President Muhammadu Buhari, we had decided to eliminate fuel subsidies,” he explained.
Uzodinma stated that the lengthy history of oil deregulation necessitated the exercise of patriotic responsibility once and for all.
“One may question why the haste to promptly increase gas rates. I do not believe that anyone has imported petroleum since May 29. What is being sold is still obsolete inventory. We must be the guardian of our siblings. There is no way we can be like other nations that we venerate without incorporating global practices. “The private and public sectors must work together to ensure a free, fair, and competitive economy,” he said.
The governor added that the true issue is that not enough Nigerians are receiving the intended benefits of the subsidy.
“I am certain that few Nigerians are cognizant of the true nature of the oil subsidy issue and those who benefit from it. The fact remains that no nation can develop through economically unsustainable policies such as energy subsidies. “A responsible government must examine the issue holistically and make a decision that is in the best interests of the citizens,” he stated.
Uzodinma stated that the federal government was currently formulating measures to mitigate the impact of the subsidy elimination.
“Remember that the President is a man of the people,” he advised. He was the first governor of Lagos State to increase labor compensation.