Anyone Praying For Subsidy Return Doesn’t Mean Well for Nigeria — Gov. Otti

Governor Alex Otti of Abia State has stated that anyone praying for fuel subsidy to be restored does not mean well for Nigeria, following calls for the return of the policy.

Otti said the removal of subsidy was necessary to discourage wasteful consumption and address what he described as the fraudulent practices associated with the former system.

The governor made the remarks during an interview with ARISE News aired on Friday, as the debate over petrol pricing and subsidy intensifies ahead of the 2027 general elections.

Otti said he had supported subsidy removal long before President Bola Tinubu ended the policy, recalling that he had advocated its removal in 2020 during the COVID-19 pandemic when global oil demand had fallen sharply.

“I wrote in 2020 during the COVID and at that time nobody was buying oil and I said it was a good time to remove subsidy,” he said.

According to him, government support should focus on boosting production rather than subsidising consumption.

“So I have always heard the view that once you subsidise consumption, what you get is exactly what you wanted. So I don’t have a problem supporting production but consumption should not be subsidised,” Otti said.

He argued that subsidising petrol consumption could encourage excessive use because consumers would not bear the full cost of their consumption.

Otti said the initial hardship associated with subsidy removal was unavoidable, but argued that higher prices would encourage more responsible consumption.

“You know as election approaches people will be making all sorts of arguments but removing the subsidy was the right thing to be done and I don’t think anybody who is praying that subsidy returns means well for the country,” he said.

The governor also described the former subsidy regime as a “scam”, saying this was among the reasons he remained opposed to its restoration.

His comments came days after Rabiu Kwankwaso, the Nigeria Democratic Congress (NDC) vice-presidential candidate, said an administration led by presidential candidate Peter Obi would reintroduce petrol subsidy through a different model if elected in 2027.

Kwankwaso criticised Tinubu’s decision to remove the subsidy immediately after assuming office, arguing that the consequences had contributed to the country’s economic difficulties.

“We are bringing subsidy in our own way,” Kwankwaso said, explaining that the NDC would explore measures aimed at lowering petrol prices.

He pointed to increased domestic refining as one possible approach, saying the government could build additional refineries to increase local production and make petrol available to Nigerians at what he described as a reasonable price.

The NDC and Obi’s camp subsequently backed Kwankwaso’s proposal for a different form of subsidy, according to reports.

Tinubu announced the removal of petrol subsidy during his inaugural address on May 29, 2023, declaring that “subsidy is gone”. The decision was followed by a sharp increase in petrol prices and higher transportation and living costs.

The subsidy question has since remained a major economic and political issue, with opposition figures proposing different mechanisms for reducing petrol prices while the Tinubu administration maintains its reform approach.