Opinion
Debating The Deregulation Issue
There are several ways the public sector affects the supply of goods and services. They include direct provision, subsidisation of prices, specification and enforcement of regulations for private sector provision, and sometimes a combination of two or more of these ways.
It is economic bottlenecks, scarcities, apparent market failures in resource allocation, a specific shortage or abuse of monopoly or Oligopoly that create the socio-economic conditions that justify public intervention.
In Nigeria where there is widespread and chronic poverty, high and rising levels of unemployment, and wide and growing disparities in the distribution of income, it will be foolhardy to rely on the market system to allocate resources. Why? The functioning of the market system is spontaneous – blueprints for the use pattern of resources are not prepared in advance.. Market mechanism is often described as an action without programme. And as pointed out by Gerald M. Meier in his book Leading Issues in Economic Development: “the market mechanism is criticized as being ineffective, unreliable, or irrelevant for the problems now encountered by developing nations”.
It is against this backdrop that one appreciates the passion with which many Nigerians particularly members of the Nigerian Labour Congress (NLC) and Civil Society groups are opposing the deregulation of the downstream sector of the oil industry. On October 29, 2009, Labour and the Civil Society groups held a rally in Abuja in protest against the deregulation policy. To determine the popularity of the policy, the NLC President, Abdulwaheed Omar, during the rally, called on the Federal Government to subject it (the deregulation policy) to a national referendum.
What are the arguments against the policy. Believing that with the implementation of the policy, the pump price of petrol would rise above N100.00, labour is convinced that the poor masses would face untold hardship and every segment of the economy would be affected adversely.
It has also been argued that in a country such as Nigeria where there is no social security to cushion the effects of the current global economic crisis, this is not a holy time for the deregulation policy which will mean cutting down social spending. To make life easier for their citizens, in the face of the global economic meltdown, Europe, the United States of America (USA) and other countries across the world are increasing social spending by providing stimulus packages for their economies.
Besides, the implementation of the policy would face lots of problems as there is nothing to show that government has put in place a consistent and reliable policy framework which will guarantee investors’ confidence in the whole thing.
Worse still, there is no public education regarding the policy. Seminars and workshops are not being organised by government to explain to stakeholders their preparedness to implement the policy and to also elicit inputs from the people. So far, enough light has not been cast on the entire thing.
As part of the plan to reform the oil industry, the federal government on the other hand sees the deregulation of the downstream sector not only as a solution to the persistent fuel scarcity in the country but also as a means of conserving and directing the huge chunk of money spent in subsidizing oil importation to vital areas where it is needed in the economy.
The federal government has put the amount of money spent in sustaining the subsidy package within the last four years at about N2 trillion and that of 2008 alone at N654.76 billion. So the Minister of Finance, Mansur Muhter justifies government’s deregulation policy in these words: “We have found out that we are really subsidizing inefficiencies, fraud, racketeering in the whole production chain and in that context basically, given the competing needs for scarce resources, government felt we needed to do something. We are also subsidizing other countries.”
But all in all, the truth is that the federal government is not prepared for the implementation of its deregulation policy. The decision to postpone the implementation of the policy is therefore appropriate.
To prepare for the implementation of the policy is for government to do a whole lot of things to keep its house in order first. This involves providing level playing ground for all stakeholders and strengthening the industry for its effective and efficient operation. It involves making the country’s four refineries in Port Harcourt, Warrri, and Kaduna functional, and issuing licenses to individuals and the multinationals to set up private refineries. And it involves tackling the problems of infrastructure in the country, dealing with the Niger Delta dilemma, and addressing the lingering controversy over the Petroleum Industry Bill (PIB) which the Federal Executive Council has been pushing for approval by the National Assembly.
Nigeria is the sixth largest oil producer in the world. Its petroleum pump price should be one of the lowest in the world.
Vincent Ochonma
Opinion
Wike VS Soldier’s Altercation: Matters Arising
The events that unfolded in Abuja on Tuesday November 11, 2025 between the Minister of the Federal Capital Territory, Chief Nyesom Wike and a detachment of soldiers guarding a disputed property, led by Adams Yerima, a commissioned Naval Officer, may go down as one of the defining images of Nigeria’s democratic contradictions. It was not merely a quarrel over land. It was a confrontation between civil authority and the military legacy that still hovers over our national life.
Nyesom Wike, fiery and fearless as always, was seen on video exchanging words with a uniformed officer who refused to grant him passage to inspect a parcel of land alleged to have been illegally acquired. The minister’s voice rose, his temper flared, and the soldier, too, stood his ground, insisting on his own authority. Around them, aides, security men, and bystanders watched, stunned, as two embodiments of the Nigerian state clashed in the open.
The images spread fast, igniting debates across drawing rooms, beer parlours, and social media platforms. Some hailed Wike for standing up to military arrogance; others scolded him for perceived disrespect to the armed forces. Yet beneath the noise lies a deeper question about what sort of society we are building and whether power in Nigeria truly understands the limits of its own reach.
It is tragic that, more than two decades into civil rule, the relationship between the civilian arm of government and the military remains fragile and poorly understood. The presence of soldiers in a land dispute between private individuals and the city administration is, by all civic standards, an aberration. It recalls a dark era when might was right, and uniforms conferred immunity against accountability.
Wike’s anger, even if fiery, was rooted in a legitimate concern: that no individual, however connected or retired, should deploy the military to protect personal interests. That sentiment echoes the fundamental democratic creed that the law is supreme, not personalities. If his passion overshot decorum, it was perhaps a reflection of a nation weary of impunity.
On the other hand, the soldier in question is a symbol of another truth: that discipline, respect for order, and duty to hierarchy are ingrained in our armed forces. He may have been caught between conflicting instructions one from his superiors, another from a civilian minister exercising his lawful authority. The confusion points not to personal failure but to institutional dysfunction.
It is, therefore, simplistic to turn the incident into a morality play of good versus evil.
*********”**** What happened was an institutional embarrassment. Both men represented facets of the same failing system a polity still learning how to reconcile authority with civility, law with loyalty, and service with restraint.
In fairness, Wike has shown himself as a man of uncommon courage. Whether in Rivers State or at the FCTA, he does not shy away from confrontation. Yet courage without composure often feeds misunderstanding. A public officer must always be the cooler head, even when provoked, because the power of example outweighs the satisfaction of winning an argument.
Conversely, soldiers, too, must be reminded that their uniforms do not place them above civilian oversight. The military exists to defend the nation, not to enforce property claims or intimidate lawful authorities. Their participation in purely civil matters corrodes the image of the institution and erodes public trust.
One cannot overlook the irony: in a country where kidnappers roam highways and bandits sack villages, armed men are posted to guard contested land in the capital. It reflects misplaced priorities and distorted values. The Nigerian soldier, trained to defend sovereignty, should not be drawn into private or bureaucratic tussles.
Sycophancy remains the greatest ailment of our political culture. Many of those who now cheer one side or the other do so not out of conviction but out of convenience. Tomorrow they will switch allegiance. True patriotism lies not in defending personalities but in defending principles. A people enslaved by flattery cannot nurture a culture of justice.
The Nigerian elite must learn to submit to the same laws that govern the poor. When big men fence off public land and use connections to shield their interests, they mock the very constitution they swore to uphold. The FCT, as the mirror of national order, must not become a jungle where only the powerful can build.
The lesson for Wike himself is also clear: power is best exercised with calmness. The weight of his office demands more than bravery; it demands statesmanship. To lead is not merely to command, but to persuade — even those who resist your authority.
Equally, the lesson for the armed forces is that professionalism shines brightest in restraint. Obedience to illegal orders is not loyalty; it is complicity. The soldier who stands on the side of justice protects both his honour and the dignity of his uniform.
The Presidency, too, must see this episode as a wake-up call to clarify institutional boundaries. If soldiers can be drawn into civil enforcement without authorization, then our democracy remains at risk of subtle militarization. The constitution must speak louder than confusion.
The Nigerian public deserves better than spectacles of ego. We crave leaders who rise above emotion and officers who respect civilian supremacy. Our children must not inherit a nation where authority means shouting matches and intimidation in public glare.
Every democracy matures through such tests. What matters is whether we learn the right lessons. The British once had generals who defied parliament; the Americans once fought over states’ rights; Nigeria, too, must pass through her own growing pains but with humility, not hubris.
If the confrontation has stirred discomfort, then perhaps it has done the nation some good. It forces a conversation long overdue: Who truly owns the state — the citizen or the powerful? Can we build a Nigeria where institutions, not individuals, define our destiny?
As the dust settles, both the FCTA and the military hierarchy must conduct impartial investigations. The truth must be established — not to shame anyone, but to restore order. Where laws were broken, consequences must follow. Where misunderstandings occurred, apologies must be offered.
Let the rule of law triumph over the rule of impulse. Let civility triumph over confrontation. Let governance return to the path of dialogue and procedure.
Nigeria cannot continue to oscillate between civilian bravado and military arrogance. Both impulses spring from the same insecurity — the fear of losing control. True leadership lies in the ability to trust institutions to do their work without coercion.
Those who witnessed the clash saw a drama of two gladiators. One in starched khaki, one in well-cut suit. Both proud, both unyielding. But a nation cannot be built on stubbornness; it must be built on understanding. Power, when it meets power, should produce order, not chaos.
We must resist the temptation to glorify temper. Governance is not warfare; it is stewardship. The citizen watches, the world observes, and history records. How we handle moments like this will define our collective maturity.
The confrontation may have ended without violence, but it left deep questions in the national conscience. When men of authority quarrel in the open, institutions tremble. The people, once again, become spectators in a theatre of misplaced pride.
It is time for all who hold office — civilian or military — to remember that they serve under the same flag. That flag is neither khaki nor political colour; it is green-white-green, and it demands humility.
No victor, no vanquish only a lesson for a nation still learning to govern itself with dignity.
By; King Onunwor
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