Former Bauchi State Governor, Isa Yuguda, has criticized the complete removal of fuel subsidy by the President Bola Tinubu administration, warning that it would inflict more hardships on Nigerians. He noted that while the Federal Government still pays a minimal subsidy on petrol, a complete removal would lead to untold hardship. Yuguda urged states to utilize the increased allocations they now receive to drive down the cost of products in the economy.
Yuguda, who was speaking on Channels Television, explained that the removal of subsidy was not a new decision but was already reflected in the 2023 budget prepared by the National Assembly. He clarified that the subsidy removal was not initiated by the President but was a result of the budget, which did not provide for subsidy post 29th May 2023.
Regarding the ongoing subsidy payments, Yuguda affirmed that Nigeria still pays subsidies, estimating it to be between 300 to 400 billion naira every month. He emphasized that the subsidy that was removed was the one going into private pockets, which was now being ploughed into the government's treasury, leading to increased revenue.
Yuguda suggested that the government's increased revenue should be used to introduce palliatives to counter the effects of rising commodity prices. He emphasized the need for state governments to intervene and stabilize prices to prevent further hardship on citizens.
