Opinion
G5 And PDP’s Second Crisis
Barely seven years after the first intra-party crisis that rocked the Peoples Democratic Party, PDP, which culminated in the loss of the 2015 Presidential Elections, a second one is afoot; but one name remains constant – Atiku Abubakar. In 2015, the ‘New’ PDP with a very strong northern complexion led by former Vice President, Atiku Abubakar, faught against former President Jonathan’s second tenure ambition. The first shot of that fight was heard when Atiku Abubakar, seven northern governors of the PDP, lawmakers, and their supporters staged a walkout during the party’s national convention in August 2013. Then, there were a plethora of challenges within the party and the then President Jonathan’s administration, but the battle line was marked by two key issues; the high-handedness of the National Chairman, Alhaji Bamanga Tukur, and the eligibility of Jonathan. Eventually, the Tukur gave way to Alhaji Ahmadu Adamu Mu’azu, former Governor of Bauchi State. But it wasn’t enough to appease Atiku’s gang.Those who were not bold enough to fight in the open, remained in the party while working at cross purposes against the party and its presidential candidate, and Jonathan was ousted. The underlining sentiment at the time was that it was the turn of the north.
In retrospect, and in comparison with the current crisis, the same forces are at work.The seed of the second PDP crisis was sown when it became apparent, early in the year that former Vice President Atiku Abubakar was angling for the party’s presidential ticket. Even though there was nothing wrong with his ambition to gun for the highest office in the land, there were ethical and moral issues surrounding his candidacy, given that the current president was from the North. He knew from the outset that he was going against the grain of political equity, fairness, and justice. He also knew that his move was equal to turning his party’s constitution on its head. Because, PDP’s constitution states clearly in Chapter 1, Section 7 (3)(c) states that “in pursuant of equity, justice, and fairness, the party shall adhere to the policy of rotation and zoning of party and elective offices, and it shall be enforced by the appropriate Executive Committees at all levels.” Evidently, Atiku’s ambition and subsequent declaration as the party’s standard bearer in the 2023 presidential election set the PDP on the road to perdition.
But Atiku Abubakar, being a veteran politician, and a serial presidential candidate (1993, 2007, 2011, 2015, and 2019) was not deterred; rather, he unleashed his political wizardry, and deftly cornered the National Chairman of the PDP. And he made his move, even when Governor Samuel Ortom’s Zoning Committee was yet to submit their report; he became the first Presidential aspirant to purchase the expression of interest form. One of Atiku’s spokesmen recently alleged that Governor Wike defeated micro-zoning in the party. He claimed that his principal had promised to step down his ambition if the party zones its presidential ticket to the South East. Nothing could be further from truth; because in August 2021, during the party’s 94th National Executive Council meeting in Abuja, Atiku categorically stated that “where the president comes from has never been the problem of Nigeria neither will it be the solution. There is no such thing as the president from Southern Nigeria or president from Northern Nigeria. There is only one president from Nigeria, by Nigeria and for Nigeria.” What he idealized in 2021, he has actualized in 2022; but the marathon has just begun.
After two disastrous 4-year tenures that crowned Nigeria as the poverty capital of the world, turned the Naira into a tissue of paper relative to its value as of May 29, 2015, polarised and transformed every part of the country into a killing field, power will change hands on May 29, 2023. However, going by the crisis in PDP, the main opposition party, chances are that APC; the incumbent party, or Labour Party might carry the day. Initially, there were only pockets of grievances within the party, howbeit, after all was said and done with the Presidential Primaries, and the selection of a running mate, it was then time for the promises made behind closed doors to be fulfilled in the open. But nothing happened. Senator Iyorchia Ayu has reneged on his promise to vacate the office of the National Chairman of the party in the event that a northerner emerged as the presidential candidate. On his part, Atiku Abubakar has either refused or is unwilling to impress on the embattled chairman to resign in order to pave the way for a national chairman of Southern extraction to emerge.
Consequently, pockets of grievances have morphed into the G5, or what is now known as the Integrity Group. The G5 led by Governor Nyesom Wike of Rivers State was recently referred to as Atiku Abubarker’s nemesis by the Pan Igbo cultural group, Ohaneze Ndigbo. According to Mazi Okechukwu Isiguzoro, Secretary-General of Ohaneze Ndigbo Worldwide, Atiku was a victim of nemesis; he was reaping the fruit of the seed he cultivated in 2015. He said: Nemesis has caught up with Atiku Abubakar after he treacherously hijacked some governors in 2015 to provide the opposition for the re-election of former President Goodluck Jonathan and succeeded in forming alliances with then ACN, led by Bola Tinubu, CPC led by Muhammadu Buhari, ANPP led by Ogbonnaya Onu, a faction of APGA led by Rochas Okorocha and the then New PDP, which he led.
He was able to lead former Governor Chibuike Amaechi of Rivers, former Governor Rabiu Kwankwanso of Kano, former Governor Aliyu Wamakko of Sokoto, former Governor Abdulfatah Ahmed of Kwara, and former Governor Murtala Nyako of Adamawa against their own party, the PDP.”
“Now nature has finally come up against him and he is reaping the reward; let him stop wasting his time and resources. Whatever Atiku had sowed in 2015; he is now reaping in 2023. He and the same gang members that destroyed Jonathan’s chances in 2015 have also undermined the PDP zoning formula that favours the Southeast.” It is clear that major interest groups and the voting public are fully aware of the ongoing crisis within the PDP.
And, while others are assiduously working to find common ground, some other groups have deemed the actions of G5 praiseworthy. And, from what could be deduced from the campaign so far, the wind seems to be in the sail of the APC in spite of their sacrilegious Muslim – Muslim ticket. Like the ongoing Ukrainian war, where the strongman of the Kremlin, Vladimir Putin, in spite of great losses and national humiliation has continued to send minimally trained and ill-equipped recruits to the slaughter, Atiku Abubakar, and Senator Ayu have also refused to shift ground.
They have advanced various theories to the effect that the removal of the party’s national chairman would create constitutional issues that could mar the party’s chances at the polls come February 2023. But this is an issue of integrity, whereby, a man’s word should be his bond. On the other hand, Governor Wike, and the other governors that make up the five are Samuel Ortom of Benue, Seyi Makinde of Oyo, Okezie Ikpeazu of Abia, and Ifeanyi Ugwuanyi of Enugu. have made it clear that he was not backing down so long as Senator Iyorchia Ayu remains the national chairman of the PDP. He has also said on several occasions that the PDP cannot win the presidential election next year without him, a sentiment that was shared by the New Nigeria Peoples Party’s presidential flag bearer, Rabiu Kwankwaso, during the commissioning of a project in Rivers State. According to him, there is no part to electoral victory in a presidential election without Kano State, Lagos, and Rivers.
Somehow, the mathematical impossibility of winning the 2023 Presidential Election without any two aforementioned key states is lost on the planners in the PDP war room. At least, going by the utterances of Senator Ayu, there is an assurance that the PDP can do without Governor Wike, or Rivers voters. Maybe, the embattled chairman is counting on the general sentiment of the North to perpetually retain power; and the hope that aggrieved Northern Christian APC members, led by former Speaker Yakubu Dogara might pitch their tent with the Former Vice President. How this would pan out is any ones guess at the moment. For the untrained eye, everything is in flux, but great mathematicians ply their trade in unrolling patterns in seemingly chaotic situations. Unfortunately, I am no great mathematician, but a keen observer of the goings on in our polity. And what I see is that the PDP’s second crisis might end up in favour of ordinary Nigerians.
By: Raphael Pepple
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Opinion
Fuel Subsidy Removal and the Economic Implications for Nigerians
From all indications, Nigeria possesses enough human and material resources to become a true economic powerhouse in Africa. According to the National Population Commission (NPC, 2023), the country’s population has grown steadily within the last decade, presently standing at about 220 million people—mostly young, vibrant, and innovative. Nigeria also remains the sixth-largest oil producer in the world, with enormous reserves of gas, fertile agricultural land, and human capital.
Yet, despite this enormous potential, the country continues to grapple with underdevelopment, poverty, unemployment, and insecurity. Recent data from the National Bureau of Statistics (NBS, 2023) show that about 129 million Nigerians currently live below the poverty line. Most families can no longer afford basic necessities, even as the government continues to project a rosy economic picture.
The Subsidy Question
The removal of fuel subsidy in 2023 by President Bola Ahmed Tinubu has been one of the most controversial policy decisions in Nigeria’s recent history. According to the president, subsidy removal was designed to reduce fiscal burden, unify the foreign exchange rate, attract investment, curb inflation, and discourage excessive government borrowing.
While these objectives are theoretically sound, the reality for ordinary Nigerians has been severe hardship. Fuel prices more than tripled, transportation costs surged, and food inflation—already high—rose above 30% (NBS, 2023). The World Bank (2023) estimates that an additional 7.1 million Nigerians were pushed into poverty after subsidy removal.
A Critical Economic View
As an economist, I argue that the problem was not subsidy removal itself—which was inevitable—but the timing, sequencing, and structural gaps in Nigeria’s implementation.
- Structural Miscalculation
Nigeria’s four state-owned refineries remain nonfunctional. By removing subsidies without local refining capacity, the government exposed the economy to import-price pass-through effects—where global oil price shocks translate directly into domestic inflation. This was not just a timing issue but a fundamental policy miscalculation.
- Neglect of Social Safety Nets
Countries like Indonesia (2005) and Ghana (2005) removed subsidies successfully only after introducing cash transfers, transport vouchers, and food subsidies for the poor (World Bank, 2005). Nigeria, however, implemented removal abruptly, shifting the fiscal burden directly onto households without protection.
- Failure to Secure Food and Energy Alternatives
Fuel subsidy removal amplified existing weaknesses in agriculture and energy. Instead of sequencing reforms, government left Nigerians without refinery capacity, renewable energy alternatives, or mechanized agricultural productivity—all of which could have cushioned the shock.
Political and Public Concerns
Prominent leaders have echoed these concerns. Mr. Peter Obi, the Labour Party’s 2023 presidential candidate, described the subsidy removal as “good but wrongly timed.” Atiku Abubakar of the People’s Democratic Party also faulted the government’s hasty approach. Human rights activists like Obodoekwe Stive stressed that refineries should have been made functional first, to reduce the suffering of citizens.
This is not just political rhetoric—it reflects a widespread economic reality. When inflation climbs above 30%, when purchasing power collapses, and when households cannot meet basic needs, the promise of reform becomes overshadowed by social pain.
Broader Implications
The consequences of this policy are multidimensional:
- Inflationary Pressures – Food inflation above 30% has made nutrition unaffordable for many households.
- Rising Poverty – 7.1 million Nigerians have been newly pushed into poverty (World Bank, 2023).
- Middle-Class Erosion – Rising transport, rent, and healthcare costs are squeezing household incomes.
- Debt Concerns – Despite promises, government borrowing has continued, raising sustainability questions.
- Public Distrust – When government promises savings but citizens feel only pain, trust in leadership erodes.
In effect, subsidy removal without structural readiness has widened inequality and eroded social stability.
Missed Opportunities
Nigeria’s leaders had the chance to approach subsidy removal differently:
- Refinery Rehabilitation – Ensuring local refining to reduce exposure to global oil price shocks.
- Renewable Energy Investment – Diversifying energy through solar, hydro, and wind to reduce reliance on imported petroleum.
- Agricultural Productivity – Mechanization, irrigation, and smallholder financing could have boosted food supply and stabilized prices.
- Social Safety Nets – Conditional cash transfers, food vouchers, and transport subsidies could have protected the most vulnerable.
Instead, reform came abruptly, leaving citizens to absorb all the pain while waiting for theoretical long-term benefits.
Conclusion: Reform With a Human Face
Fuel subsidy removal was inevitable, but Nigeria’s approach has worsened hardship for millions. True reform must go beyond fiscal savings to protect citizens.
Economic policy is not judged only by its efficiency but by its humanity. A well-sequenced reform could have balanced fiscal responsibility with equity, ensuring that ordinary Nigerians were not crushed under the weight of sudden change.
Nigeria has the resources, population, and resilience to lead Africa’s economy. But leadership requires foresight. It requires policies that are inclusive, humane, and strategically sequenced.
Reform without equity is displacement of poverty, not development. If Nigeria truly seeks progress, its policies must wear a human face.
References
- National Bureau of Statistics (NBS). (2023). Poverty and Inequality Report. Abuja.
- National Population Commission (NPC). (2023). Population Estimates. Abuja.
- World Bank. (2023). Nigeria Development Update. Washington, DC.
- World Bank. (2005). Fuel Subsidy Reforms: Lessons from Indonesia and Ghana. Washington, DC.
- OPEC. (2023). Annual Statistical Bulletin. Vienna.
By: Amarachi Amaugo
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