Opinion
Subsidy Logjam: Way Forward
The removal of fuel sub
sidy by the Federal Government under the leadership of President Goodluck Jonathan on January 1, 2012 has occupied the front burner of national discourse in recent times and consigned to the back waters such issues like Boko Haram and the face-off between the government and the Academic Staff Union of Universities (ASUU) among others.
There is no doubt that the removal of fuel subsidy was not going to pass without rufling some feathers because attempts by successive administrations in the past to tinker with the idea had been visited with a swell of opposition to the extent that the policy did not see the light of day.
Today, in spite of explanations, pleas and overtures to Nigerians by the President to show understanding over the issue, opposition to the policy has grown in leaps and bounds to the extent that the organised labour, civil society groups and other Nigerians have embarked on strike action and mass protests.
The strike action which started on Monday side by side the mass protests appear to have put the entire nation on edge with government and economic activities apparently grounded. It is instructive to note that the strike action and mass protests came on the heels of a nationwide broadcast by President Jonathan to further convince the populace on the need to embrace the policy. He further highlighted palliative measures and concessions which the government had made for Nigerians to swallow the bitter pills of the subsidy removal. From all indications, the President’s speech did not cut any ice as it could not stop the strike and protests.
The motion by the House of Representatives condemning and rejecting the policy was again the fodder the protesters needed to take to the streets. The House actually called on the government to suspend the policy and appealed to labour to suspend the proposed strike action.
There were, however, strong indications that both the government and labour were adamant to heed the call as President Jonathan reportedly dismissed the position of the House as an expression of its opinion while labour hailed the motion and went ahead to carry out its threat.
The purpose of this article is not to place before the public domain the pros and cons of the subsidy removal which have already been over-flogged but to address some salient issues which may go a long way in resolving the logjam arising from the government’s policy because in spite of efforts made so far to douse the tension in the land which the removal has generated, the palpable quagmire has persisted.
It is crystal clear that what is at stake at this point in the entire drama is literally the bread and butter of the ordinary citizens of this country. Everything which the subsidy removal has thrown up in the past one week impinges on the daily survival of the ordinary people; how to fend for themselves in the face of the hardship which the increase of the pump price of petrol has foisted on them. It is, therefore, safe to state that no government, whether military or civilian toys with the stomachs of the ordinary people and gets away with it. Examples will suffice.
The ordinary people of this country had in the past demonstrated uncommon courage and resilience even in the face of undaunting challenges that heavily tasked their souls and collective sensibility. The Boko Haram issue is one of such issues.
The activities of this Islamic sect have continued to put the lives of ordinary Nigerians residing in some parts of the North in danger. Several of these people had lost their lives and those of their beloved ones to this sect as well as their property.
Yet, they had resigned their fate, hoping that the monster would disappear from the face of the earth the same way it had come.
Again, the ordinary people are not oblivious of the fact that corruption in high places, which has been tarnishing the image of the country, has equally been denying them an improved standard of living. They have continued to live below the poverty line because of this. Yet, they have endured a situation where some of those who are administering the collective patrimony, holding it in trust for them, have been pilfering it. They literally intimidate them with their posh cars and exotic houses. Yet, they have not raised a whimper.
Indeed, never have these Nigerians raised their silent voices in protest and agitation as they have done in the wake of this subsidy removal. This is instructive. The truth of the matter is not that the government removed the subsidy on fuel. The truth is rather that that singular action has subjected them to untold hardship as their sources of livelihood have been threatened.
Transport fares have gone up. Prices of goods and services have followed suit. The people need fuel to power their generating sets in barbing and hair dressing salons. They need fuel in their workshops, business centres and shops. They need fuel in their homes in the absence of electricity. But fuel is now beyond their reach. So also are goods and services and these are the things that are making them to be agitated today.
This is also the simple reason why President Jonathan’s pleas seem to have fallen on deaf ears, and it is not borne out of the fact that they no longer love him because it is a bulk of these people that voted for him at the polls last April.
It is important to state that in spite of the gains which may accrue from the removal of the subsidy particularly in the long run, it is an established fact that government’s policies are couched in such a way that they would maximally benefit the people both in the short and long run.
The current subsidy removal has, therefore, raised a fundamental question: is the Federal Government saying that without the pump price of fuel being pegged at N141, the removal of fuel subsidy will not make any meaning? One thing is, however, clear. The increase from N65 per litre of fuel to N141 is too much. The N76 difference is inexplicable and has become the bone of contention.
Indeed, this is the time for concessions. It is time for government to make more concessions and for both labour and others agitating for total reversal to shift their grounds. In the interim, the government should therefore, reduce the pump price from N141 to N90 while it goes ahead to implement all the palliative measures it has put in place. This may go a long way to provide relief in the psyche of agitated Nigerians, calm frayed nerves and restore normalcy in the polity.
Another important point to note is that in spite of how lofty government’s intention may be on this issue, the wishes and aspirations of the majority of Nigerians are sacrosanct and must prevail. Government will always have its say but the people will always have their way. Democratic ethos dictates that the government is supposed to accede to the demands of the people and not the other way round.
This is, therefore, the time for President Jonathan and members of his economic team to listen to the voices of reason particularly now that literary icons like Professors Wole Soyinka, Chinua Achebe and J.P. Clarke have lent their voices to the ongoing subsidy debate. The subsidy debacle must not be allowed to rubbish the goodwill which the President has been enjoying among Nigerians. History stares us in the face.
Donatus Ebi
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