In his address at the 2024 Nigeria International Energy Summit in Abuja, President Bola Tinubu shed light on the rationale behind the removal of subsidy on petrol, emphasizing its necessity for ensuring a transparent and accountable energy sector.

Acknowledging the challenges posed by the decision, President Tinubu, represented by the Minister of Information and National Orientation, Mohammed Idris, emphasized that while the move has resulted in hardship, particularly among low-income earners, it is pivotal for the long-term improvement of the economy.

President Tinubu underscored energy security as a top priority for his administration, stating that the subsidy removal is aimed at alleviating the strain on economic resources caused by years of subsidizing petroleum products. He highlighted that redirecting funds from subsidies towards energy infrastructure development is crucial for enhancing efficiency and sustainability in the sector.

Moreover, Tinubu pointed out that the removal of subsidies has spurred increased private sector participation in the energy industry, fostering competition and innovation while driving down costs. He stressed the potential to attract both local and international investors, thereby enhancing overall sector efficiency.

Recognizing the immediate impact on citizens, especially those with lower incomes, Tinubu assured the implementation of social intervention programs to mitigate short-term effects on vulnerable populations. These initiatives are designed to ensure equitable burden-sharing and protect the most vulnerable members of society.

In conclusion, President Tinubu emphasized that while the decision to remove the petroleum subsidy is not without its challenges, it is essential for long-term energy security and economic prosperity. He called for collaboration among stakeholders to navigate these transformative times and build a resilient and sustainable energy future for Nigeria.