FG’s Silence on Subsidy Return: Obanikoro Urges Transparency

Former Minister of State for Defence, Musiliu Obanikoro, recently highlighted the importance of transparency from the Federal Government regarding the possible return of subsidy on Premium Motor Spirit (PMS) or petrol.

In a recent appearance on Channels Television’s Sunrise Daily program, Obanikoro, a former lawmaker and member of the All Progressives Congress (APC), emphasized the need for the government to address this issue openly.

The Nigerian government has faced significant challenges in the downstream sector, with stakeholders in the marketing and distribution of petroleum products raising concerns about the impact of the fluctuating exchange rate on the pump price of the product.

Some have even threatened strikes and price hikes.

Obanikoro stressed the importance of communication, particularly in light of the recent claims by the World Bank and Pinnacle Oil and Gas Limited CEO Robert Dickerman, who alleged that the Federal Government is still paying subsidies for the product.

Human rights lawyer Femi Falana also challenged the government to confirm or deny these allegations and end the opacity surrounding the importation of fuel from foreign countries.

In response to whether subsidy has indeed returned, Obanikoro acknowledged that there might be a “cushion” to address the gap between the dollar and the naira, but he emphasized the need for a government representative to address this matter officially.

The former senator also shared his belief that the government may be filling the widening gap between the United States’ dollar and Nigeria’s naira in the final price of petrol.

He explained that, given the pain in the country, the government cannot afford to leave this lacuna unfilled and might be chipping in some amount of money to address the issue.

Obanikoro urged the Federal Government to communicate openly with the people about the subsidy return, taking them along step by step to ensure transparency and understanding.