Nigeria Times

The federal government of Nigeria has officially declared that fuel and foreign exchange subsidies are permanently discontinued and will not be reinstated. This announcement was made by the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, during the presentation of the Nigeria Development Update by the World Bank in Abuja on October 17.

Edun explained that the removal of these subsidies, which had drained the economy for decades and cost over N10 trillion (5% of Nigeria’s GDP), was essential for the country’s economic sustainability. He praised President Bola Tinubu’s administration for ending the 40-year subsidy regime, despite the challenges, emphasizing that the move would yield long-term economic benefits.

Former Nigerian President, Chief Olusegun Obasanjo, has hinted at significant matters he wishes to address but stated that now is not the right time. He made this remark during the 67th birthday celebration of renowned lawyer Mike Ozekhome (SAN), where Obasanjo served as the chairman of the event.

While praising Ozekhome as a courageous advocate for positive change, Obasanjo shared the stage with ex-President Goodluck Jonathan, whom he introduced as co-chairman. Jonathan, while speaking, acknowledged Obasanjo’s likely reluctance to comment on certain judicial issues, to which Obasanjo cryptically responded, “There is much to say, but it is not yet time for it.”

Henry Akinduro, CEO of Global Signature Hotel and Total Grace Group Limited, has filed a ₦5 billion lawsuit against the Economic and Financial Crimes Commission (EFCC) for allegedly violating his rights by declaring him wanted without due process.

The EFCC recently listed Akinduro as wanted following fraud accusations from Femi Olushakin. Akinduro’s legal team, led by Senior Advocate of Nigeria (SAN) Olalekan Ojo, asserts that the matter is a contractual dispute, not criminal fraud, and is already subject to an ongoing civil case (Suit No: I/875/2024).

Akinduro maintains his innocence, accusing the EFCC of escalating a civil issue and damaging his reputation. His lawyers argue that the fraud claims are baseless and a misuse of state resources. Akinduro has called for a transparent legal process, emphasizing his right to be presumed innocent until proven guilty.

The House of Representatives has raised concerns over the recent fuel price hikes, warning that they could lead to social unrest. This warning came as talks between the Federal Government and labor unions reached a deadlock over the sudden increase in petrol prices.

NNPC retail outlets recently raised fuel prices to ₦1,030 per litre in Abuja, and ₦998 in Lagos, marking the second price hike in a month. This increase has worsened the cost of living, with transportation and food prices soaring.

The House urged the government to immediately reverse the price hike, emphasizing the economic hardship faced by Nigerians. Minority Leader Kingsley Chinda, along with 100 other lawmakers, highlighted the burden on households, blaming the subsidy removal, volatile global oil prices, and the naira’s depreciation.

The Minister of Power, Adebayo Adelabu, has highlighted the need for regional and state-specific power grids to prevent frequent national grid collapses in Nigeria. Speaking at the unveiling of Hexing Livoltek, an electricity meter manufacturing company in Lagos on Wednesday, Adelabu explained that the country’s current reliance on a single national grid leaves the entire nation vulnerable to outages.

He stressed that decentralizing the power sector, as enabled by the 2023 Electricity Act, would allow subnational governments to participate in electricity generation, transmission, and distribution, ensuring that grid collapses are limited to specific regions rather than affecting the entire country.

Adelabu acknowledged that grid collapses are almost inevitable given the poor state of Nigeria’s power infrastructure. He emphasized the need for significant investment to upgrade outdated equipment, noting that some transformers in use are over 50 years old.

Despite recent challenges, the minister noted that there had been no major grid collapses in the last four months, except for a partial collapse earlier in the week, which was resolved in under two hours. He emphasized the importance of improving response times when such incidents occur.

During the event, Hexing Group’s CEO, Robert Liang, expressed optimism about expanding into Nigeria and reaffirmed the company’s commitment to advancing clean energy in the country.

The Federal Government and Organised Labour have reached an agreement aimed at addressing the soaring transport fares and food prices in Nigeria. This comes amid growing concerns about inflation and the high cost of living.

The agreement was made following a meeting held at the Office of the Secretary to the Government of the Federation (SGF), on the same day that the House of Representatives urged the government to reverse the recent petrol price hike. Lawmakers also proposed measures like tax reductions and subsidies on liquefied petroleum gas (LPG) for low-income households to stabilize fuel and cooking gas prices.

As part of the agreement, the government pledged to roll out over 2,000 Compressed Natural Gas (CNG) conversion kits and provide an additional 45 CNG buses to complement the 90 previously promised. These buses are expected to help lower transport costs and, by extension, reduce food prices by making the transportation of goods cheaper.

The government also agreed to engage with state governors to ensure the implementation of the ₦70,000 minimum wage, beginning in October. Labour will now have representation on the country’s economic council, allowing for continuous dialogue on economic policies.

The government further promised to accelerate the completion of five refineries and address wage arrears for workers. Both parties agreed that ongoing discussions would help prevent future disputes and ensure a more cooperative relationship moving forward.

Allen Onyema, the CEO of Air Peace, has lauded the Federal Government for its commitment to creating a viable business environment in the aviation sector. His remarks followed a meeting with Vice President Kashim Shettima at the Presidential Villa in Abuja on Tuesday.

In a discussion with reporters, Onyema shared that the vice president emphasized the government’s initiative to promote the ease of doing business within the aviation industry.

“I just had a session with the Vice President, and everything he said indicates that the government is focused on enhancing the ease of doing business,” Onyema stated.

He also commended Aviation Minister Festus Keyamo for his significant contributions to the sector, saying, “I can attest that the government is actively promoting business facilitation, especially in aviation. The wonderful job Festus Keyamo is doing speaks volumes.”

Onyema expressed gratitude towards the government for its receptiveness to industry concerns, stating, “We appreciate the listening ear we’ve received from the government and look forward to further support in addressing the numerous charges we face. We are confident that the government will take action on this front.”