Fidelity bank card banner Camano banner
Fuel subsidy is not sustainable, By Benjamin Obiajulu Aduba

By News Express on 16/04/2018

Views: 1,752

•Benjamin Obiajulu Aduba
•Benjamin Obiajulu Aduba

 

 

Subsidy is what makes people live above their means. Living above one’s means is seldom a good thing. But there are times when one may, of necessity, live above one’s means. Such times must necessarily be short. The problem with the N1.4tn annual fuel subsidy is the word “annual”. This amount or similar amount will be needed in 2018, 2019 and as far as the eye can see. It is not sustainable. 

Please note that I have not said anything about how it is spent. It is still a bad idea no matter how wisely it was spent. If it also includes a corruption element, that merely compounds the problem. You get more of what you subsidise, in this case more fuel scarcity.

If Nigeria spends N1.4tn once to help get over a short fall in oil inventory to enable her build up the supply, that is a different ball game, but what we have is an annual event.

The long term solution to fuel scarcity is to do away with the subsidy altogether.

In the short run, (a few years) it will cripple the economy; force life style changes for a lot of people; increase the price of fuel exponentially; and make everybody very uncomfortable.

In the mid-term (a few years) people will be riding bicycles; driving only when it is absolutely necessary; turning off electricity when not very, very necessary; searching for alternative energy sources; producing and conserving available fuel more carefully; etc.

The mid-term efforts will lead to stock piling of fuel in the long term, which will bring the price down. And make fuel subsidy history. It would have inculcated in Nigerians the habit of conserving energy, a necessary and sufficient requirement for 21st century living.

It is being cruel in order to be kind. The current lifestyles of “owambe” in every village and town in Nigeria is unsustainable and needs to change to a more frugal living.

Abolishing fuel subsidy is one place to start.

•Benjamin Obiajulu Aduba writes from Boston, Massachusetts, USA.

 

Source News Express

Posted 16/04/2018 12:01:39 AM

 

 

CLASSIFIED ADS

 

You may also like...
Buhari’s 360,000 jobs for youths ready soon

PDP to Buhari, APC: Speak out on alleged...

Police displays weapons of suspects who kidnapped popular...

Why Nigerians should vote out Buhari and APC...

It’s official: 247 abducted schoolgirls still missing •We...

RIGHTSView, By EMMANUEL ONWUBIKO: Enugu Children Can Now...

Motorists urge Lagos Govt. to rid state of...

Kwara extends tenure of LG caretaker committees

Leather industry gets boost as BoI embraces made...

Python Dance: Ikpeazu thanks God as Army withdraws...

Obiano reads Riot Act to herdsmen, vows to...

Alison-Madueke loses out as OPEC extends Secretary General’s...

 

Latest News No going back on Ruga settlement project― Niger State Buhari orders immediate payment of N30,000 minimum wage to Federal workers Recruitment: Navy releases list of successful candidates Northern Elders Forum, CNG order Fulani herdsmen back to North Amnesty Programme profiles 308 beneficiaries for employment Olakunrin’s killing: Ethnic groups may resort to self-help ― Alaafin NYSC investigates fake graduates Election Tribunal: INEC, APC, Buhari tender video to counter allegation on server NIPOST workers suspend planned warning strike Nigerian situation extremely worrisome, on brink of disaster — Anyaoku Banditry in North-West may have international dimension —Yuguda Declare state of emergency on security, PDP tells FG

 

Most Read NUDE PHOTO OF OMOTOLA JALADE-EKEINDE surfaces online (508,154 views) Nigerian female sex addict opens up, says ‘I like it with both men and women’ (430,974 views) Shameless Genevieve Nnaji exposes breasts in public (372,708 views) Finally named: The full list of friends of Nigerian female sex addict who prowled Facebook (316,338 views) OLUMBA OLUMBA OBU (the one who called himself God) IS DEAD (281,788 views) Igbo scholar disgraces Femi Fani-Kayode •Demolishes claims on Igbo/Yoruba history with facts and figures (246,880 views) Breaking News: POPULAR REVEREND CONVERTS TO ISLAM in Kaduna (Nigeria) (238,585 views) 10 cars more expensive than Jets (222,203 views) OBJ’s son reported dead in Lagos plane crash •Names of more victims emerge (220,707 views) My wasted years in Olumba Olumba Obu’s Evil Brotherhood (208,316 views) Lagos plane crash: Journalist releases victims’ names (187,985 views) THE FINAL DISGRACE: Igbo scholar unleashes more facts about Igbo/Yoruba history, finishes off Femi Fani-Kayode with second article (186,644 views)

 

NLNG Job Vacancy

CBN banner advert

UBA Wise Savers Promo

 

Categories Advertorials (3) African Press Organisation (81) Art & Literature (96) Business & Economy (4,354) Business Verdict (76) Columnists (1,070) Complaints & Requests (95) Enterprise & Opportunities (211) Entertainment (634) Features (778) Global Business Monitor (395) ICT Monitor (53) International (3,714) Interview (192) Live Commentary (30) Love Matters (163) Maggie's Blog (338) News (48,697) Opinion (1,290) Pidgin (17) Politics (11,158) Religion (1,049) Sports (2,097) Stock Watch (39) AMA & Al Jazeera Global Update

 

 

 

 

 

APO Group Partner

 

 

CLASSIFIED ADS

GOCOP Accredited Member

GOCOP Accredited member

 

 

Africa Media Agency and Al Jazeera