Candidate of the Labour Party for the 2023 presidential election, Mr Peter Obi has said fuel subsidy payments will go immediately if he is elected president of Nigeria.
TheNewsGuru.com (TNG) reports Peter Obi said this on Sunday when he appeared on The People’s Townhall 2023 where he compared fuel consumption in Nigeria with what is consumed in Pakistan.
Recall that fuel subsidy payments gulped N2.565 trillion between January and August 2022.
In the Medium-Term Expenditure Framework, the federal government proposed to spend N3.3 trillion on fuel subsidy between January and June 2023.
However, Peter Obi argued that half of what is being mentioned as fuel subsidy payments is not ought to be, adding that with Nigeri’as debt profile, the money could be used to finance critical social development issue.
Peter Obi said: “I can assure you fuel subsidy will go immediately. Subsidy, I have said it before, is an organized crime and I cannot allow it to stay a day longer.
“What they are telling you is not what it is. Half of subsidy payments that is being mentioned is not subsidy. First is that we consume the quantity that is not supposed to be consumed. We are the same population as Pakistan. They consume below 50% of what we consume.
“So, the first half, I will remove it and give those people who are drinking it water. Because that is what they are supposed to be drinking. So we can save money. Two, we will deal with the other remaining issue.
“With our debt profile, we need the money to be able to invest in critical social development issues. Look at this year’s budget. This year’s budget, education, which is the highest since this government came, is about N2 trillion; health, which is the highest since this government came, is about N1.5 trillion. Then, infrastructure, which is road and everything related, is about N1 trillion.
“So, these three critical development areas, are receiving N4.5 trillion while subsidy is N3.6 trillion for the half year. So, if it is full year, it is about N7 trillion.
“Which country will invest more in subsidy than education, health and even roads put together? It doesn’t make sense.
“The annual budget for education is N2 trillion, annual budget for health is N1.5 trillion, road infrastructure is N1 trillion, and fuel subsidy half year is N3.6 trillion. It will go immediately”.