The Chairman of the Forum of States Finance Commissioners, Timothy Odaah, has stated that the commissioners have agreed that the Federal Government should remove the fuel subsidy in the best interest of Nigerians.
Odaah, said, “We looked at subsidy on oil as more or less a solution worse than the problem it is meant to solve.
“Looking at it presently, you will discover that it is not solving the problem, which it is meant to solve. In the first place, the NLC (Nigeria Labour Congress) and the majority of the Nigerian populace appear to have been deceived into clamouring for subsidy.
“It is a system that robs Peter to pay Paul by making the rich to grow richer and the poor to go poorer.
“There are some states that are fully industrialised and you use this subsidy in that particular place and the people who benefit more are those from the states that are industrialised.”
Odaah added, “The fuel consumption of those industries uses more of the fuel subsidy unlike the states that are under-industrialised.
“So, what we are advocating is that the subsidy be removed so that every state or any member of the federating unit sharing from FAAC will take his own money, then decide to use it or grant subsidy in a level that it will be able to afford.”
He said states were unable to meet their obligations as a result of the fuel subsidy regime.
“If you also look at the oil marketers, they are also not showing the intention of the Federal Government because it has created a very big market for them in certain ways because transparency is not coming up.
“There are some people who are eating on the subsidy to the disadvantage of others. It is because of that that we passed a resolution at FAAC because many states are crumbling as subsidy payment has eaten so much into the crude reserves.”
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