President Bola Tinubu has said that the decision to remove petrol subsidy was tough but crucial for ensuring the country’s energy stability.
Recall that Tinubu, On May 29, 2023, announced the removal of subsidy on petrol — a development that immediately led to a spike in the price of the product and spiralling inflation across board.
However, speaking at the 7th Nigeria International Energy Summit (NIES) held at the presidential villa in Abuja, Tinubu, represented by Mohammed Idris, the Minister of Information, highlighted how subsidizing petrol had strained the nation’s resources and impeded investments in vital infrastructure.
Idris, delivering the keynote address, underscored that redirecting funds from petrol subsidy towards social and energy infrastructure was imperative for Nigeria’s economic growth. He emphasized the importance of not losing sight of the energy transition while addressing energy security concerns.
“The decision to remove the petroleum subsidy is a challenging one, but it is a step we must take to secure our energy future and foster economic growth,” the minister quoted the president as saying.
“Energy security is a paramount concern for any nation striving for economic stability and development.
“We are creating a more transparent and accountable energy sector. The funds that were previously allocated to subsidising petroleum products are now redirected towards developing and upgrading our energy and other social infrastructure.
“While we are immersed in energy security, let us not forget that energy transition is another key aspect of our discussions.
He urged a focus not only on energy security but also on transitioning to cleaner and more sustainable energy sources, presenting both an environmental necessity and an economic opportunity.