I Subscribe To It – Peter Obi Backs Tinubu’s Subsidy Removal
The 2027 presidential candidate of the Nigeria Democratic Congress (NDC), Peter Obi, has reiterated his support for the removal of petrol subsidy implemented by President Bola Tinubu.
This was just as he argued that mismanagement of the funds recovered from the policy should not be used as justification for its reversal.
Obi stated this on Monday while speaking during a panel session at the Nigerian Bar Association (NBA) Annual General Conference in Port Harcourt, Rivers State.
The former Anambra State governor said he had always supported the removal of petrol subsidy, stressing that the major problem was not the policy itself but the failure of government to properly utilise the resources saved from it.
“Well, I subscribe, and I maintain that you need to remove subsidy. Mismanagement of the proceeds should not be the reason for not removing it,” Obi said.
According to him, the government ought to have provided Nigerians with alternatives to cushion the impact of the policy while ensuring that the resources recovered were invested in critical sectors.
“What we should have done is that when we remove subsidy, we would have given the people an alternative usage for the subsidy. What we have today is that that removal and attendant resources being recovered are also being mismanaged and stolen,” he added.
Obi said the proceeds should have been channelled into sectors such as healthcare and other areas capable of directly improving the living conditions of Nigerians.
He also claimed that the Federal Government had reported receiving about N16 trillion from the savings associated with subsidy removal, arguing that the funds should be transparently accounted for and productively invested.
“It’s what you use the money for that is the problem,” Obi said, adding that government could also have saved part of the proceeds to strengthen the country’s sovereign wealth position.
The debate over the subsidy removal has remained one of the most contentious aspects of the Tinubu administration’s economic reforms since the President announced the policy during his inauguration on May 29, 2023.
The decision triggered a sharp increase in petrol prices and contributed to a broader rise in the cost of transportation, food and other essential commodities, prompting sustained criticism from opposition politicians and sections of the public.
The Federal Government, however, has continued to defend the policy, maintaining that funds previously spent on subsidising petrol are being redirected to other areas of national development.
Obi’s position comes amid renewed political debate over the future of the subsidy regime ahead of the 2027 presidential election.
The presidential candidate of the African Democratic Congress (ADC), Atiku Abubakar, has recently promised to reinstate the fuel subsidy if elected, arguing that its removal under Tinubu has failed to deliver the expected benefits to Nigerians.
Tinubu has strongly criticised the proposal, describing it as evidence of a lack of understanding of governance and economic realities.
The president argued that the subsidy regime had placed significant pressure on government finances, noting that before he assumed office, several states struggled to meet their salary and pension obligations.
Obi, however, maintained that the priority should be ensuring that the resources generated from the policy are managed transparently and invested in areas that provide measurable benefits to Nigerians.
