Fuel subsidy which has became a most contentions issue
engulfing the nations political land scape, dates back to April
1992 when Ibrahim Badamosi
Babangida’s government raised the price of a liter of fuel from 15.3 koko to
20 kobo. He did it again on March 31, 1986, from 15.3 kobo to
39.5kobo, on April 10, 1988 ,
from 39.5 kobo to 42
kobo.
On January 1, 1989, he increased the price from 42kobo
to 60 kobo. Although, the regime said it was for private vehicles only but the
price remained 41k for commercial vehicles.
On December, 19, 1987, they moved to a uniform price of 60 kobo
while on March 6, 1991
the price of
a liter of fuel was increased from
60 kobo to 70 kobo and that was
when he stepped aside in August 1993.
Chief Ernest Shoneken increased the price of a liter
of fuel from 70 kobo to N5 on December 8, 1993 but a hectic mass protest saw
Abacha take over power. The incoming
regime reduced the increment to N3.25 and on October 2, 1994, the Abacha
junta increased the price of fuel
N15 but reverted back following
the mass protest. Then came Abdulsalmi Abukaka’s caretaker regime that raised the price from N11 to N25 and on December 20,
1998, it was reduced to N20 after a
sustained protect that lasted till January 6, 1999.
The Obasanjo’s
presidency adopted fuel subsidy as the bedrock of its economic policy,
for no sooner than he was
sworn in then effected an
increment to N30 on 1st
June, 2000 but protest
and mass rejection forced it to
N25 and further to N22 by the time he
left office, he raised it to N70.
When president YAR’ADUA came on board, he reduced the
price of fuel to N65.
The good luck Jonathan administration has said it is
fuel subsidy removal or nothing” if this policy sales through, the administration
claims it is going to save the nation N1.134 trillion annually which the
government argues that it is going to channel into infrastructure development
it also argues that fuel subsidy removal is
going to open up the supply and distribution of petroleum
productions to force the demand and supply. Other argue that if our
refineries are functioning optimally,
the issue of fuel subsidy will not
arise.
Hon Dakuku Adol Peter side is worried that the
issue is unnecessarily meeting up the polity
and is condemned to guiding the
house of representative to making
informed decisions on the issue rather
than follow popular opinion and further
stated the benefits that may accrue from
the fuel subsidy removal.
Note: If oil
subsidy is removed, part of N1.134 trillion that is spent annually will be used
in re-activating the Nigerian rail way
system which has gone moribund. It is
unfortunate that some people in Nigeria has
never seen a train or travel by
railway except the few opportune to
travel abroad or those that watched it through movies.