Anyone pushing for return of petrol subsidy doesn’t mean well for Nigeria – Otti

Alex Otti, Abia state governor, says subsidising consumption encourages inefficiency and corruption rather than production.

Otti, a member of the opposition Labour Party (LP), reiterated that he is in support of some of President Bola Tinubu’s policies.

Speaking during an interview on Arise TV on Thursday, Otti expressed his support for the removal of petrol subsidy by the Tinubu administration, warning against attempts to restore same.

He said government resources should be channelled towards supporting production and creating systems that enable businesses to operate efficiently.

“I’ve always been consistent on subsidies. And I’ve written extensively. I also refer you to my backpage in THISDAY, including the one that I wrote in 2020 during COVID-19. At that time, nobody was buying oil, and I said it was a good time to remove the subsidy,” Otti said.

The governor added that subsidising consumption would encourage waste and create opportunities for abuse.

He noted that consumers become conscious of their usage when they bear the cost themselves.

“When you subsidise consumption rather than production, you are just subsidising laziness. You are subsidising, sometimes, corruption,” he said.

He noted that the removal of subsidy on premium motor spirit (PMS) was the right decision ab initio, despite the hardship the policy has inflicted on Nigerians.

“You know, as election approaches, people will be making all sorts of arguments. But removing the subsidy was the right thing to be done,” the governor said.

“If you are pushing for a subsidy to return, you don’t mean well for the country.”

Otti said businesses do not necessarily require subsidies if the government can guarantee reliable power supply.

“For the people who use it for production, for their factories, those people, they really don’t need the subsidy. They just need constant power supply. And once you’re able to guarantee them constant power supply, they’ll pay,” he added.

In August, Atiku Abubakar, presidential candidate of theAfrican Democratic Congress (ADC), said he will restore petrol subsidy if elected president in 2027.

Atiku said the government has failed to account for the funds saved from the removal of subsidy.

“I did not oppose the removal of the oil subsidy, but where is the money? Where did it go? It was intended to reduce poverty and help children attend school. Where is the money now? It seems they are just stealing it,” Atiku said in Hausa. (TheCable)