WIEN Demands Safety nets to mitigate subsidy removal

By Moses Patience Chat

Energy Industry platform, Women in Energy Network (WIEN), has tasked the Federal Government to accelerate the the initiation of tangible social safety nets to ease the impact of fuel subsidy removal on Nigerians.
The Network of Women made this known in a statement issued to journalists in Abuja over the weekend.

While applauding the recent removal of fuel subsidy by the Federal Government, the statement stated in part that, “we believe that deregulation and liberalization are the only way forward for the domestic fuel market, in view of the prevailing circumstances” It called on government to quickly put measures in place to urgently deliver the realizable social and economic dividends of the market reforms to alleviate the impacts on the people.

While congratulating President Bola Ahmed Tinubu on his inauguration and the decision to end the subsidy regime in Nigeria in accordance with the Petroleum Industry Act 2021, the body noted that, the deregulation of market prices and liberalization of supply are key enablers of the ongoing reforms which will eventually provide the much needed needed opportunity for the implementation of stalled programmes aimed at availing the economy with new energy choices, such as natural gas products for transportation, power generation and industrial application.

WIEN emphasized that the emerging commercial competitiveness in the energy market will spur local and international investments in country’s Decade of Gas programme, boost production of new energy forms and solidify Nigeria’s position in the global movement towards low carbon energy.

While acknowledging the economic benefits of the recent reforms on fuel subsidy, WIEN stated that the benefits in terms of employment, patronage of local goods and services, ancillary small and medium scale business opportunities
will outweigh that of the poorly managed fuel subsidy which has done more harm than good to Nigeria.

“A deregulated and liberalized domestic fuel market will no doubt save money for government, enhance price competition, promote service efficiency, phase out perennial fuel scarcity and expand the capacity of the market to absorb more investments”, it noted.

It advised the Federal Government to ensure that the emerging market regulations address grave concerns about discriminatory foreign exchange rates, creation of market supply oligopoly, huge demurrages at import reception ports, and barriers to new market entrants, especially on women.

WIEN urged Nigerians support the new administration as it considers strategies to deliver the best economic dividends from the country’s petroleum resources, adding that relevant agencies of government should ensure collaboration with industry stakeholders to fine tune the emerging regulations in order to weed out all barriers to fair play and best market practices.

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