Youth Party Opposes Subsidy Removal without Social Safety Net

Wale Igbintade

The Youth Party (YP) has expressed its opposition to the removal of fuel subsidy without any form of social safety net to cushion the impact and protect the poor in the country.

The party in a statement issued at the weekend by its National Publicity Secretary, Ayodele Adio, stated that subsidy on fuel ought to have been gradually removed within a space of six months to one year to mitigate the impact on the poor.

The party stated that during the removal period, the government should subsidise public transport to reduce the effect on low-income earners and the vulnerable.

The act, according to the party, should be carried out by allowing public transporters to continue to buy fuel at subsidised rate either through a weekly voucher system or exemption from certain statutory fees with an agreement to maintain transport fare at the same rates.

The statement also urged the federal government to partner the public transport and interest groups like the Nigerian Labour Congress (NLC) and the National Union of Road Transport Workers (NURTW) to ensure that the removal of fuel subsidy does not affect the poor.

It added that Nigeria cannot justify spending less than a trillion on education and health respectively last year, but spent over N4trillion on fuel subsidies.

The political party recommended that government should enact a legal framework that incentivises gas development.

The statement read: “Most countries subsidise public transport to assist the poor and vulnerable. This would allow the take-home pay of low-wage workers to truly take them home.

“Most importantly, we believe that subsidy on fuel should be gradually removed within a space of six months to one year to mitigate the impact on the poor.

“During the removal period, the government should subsidise public transport to reduce the effect on low-income earners and the vulnerable.

“This should be carried out by allowing public transporters to continue to buy fuel at a subsidised rate either through a weekly voucher system or exemption from certain statutory fees with an agreement to maintain transport fare at the same rates.”

According to the political party, “Employers may also need to increase their commitment to their social responsibility by revisiting their remuneration structure to protect their junior staff from the severe and dire impact of the removal of fuel subsidy. More needs to be done in the societal interest.”

Youth Party Opposes Subsidy Removal without Social Safety Net

Wale Igbintade

The Youth Party (YP) has expressed its opposition to the removal of fuel subsidy without any form of social safety net to cushion the impact and protect the poor in the country.

The party in a statement issued at the weekend by its National Publicity Secretary, Ayodele Adio, stated that subsidy on fuel ought to have been gradually removed within a space of six months to one year to mitigate the impact on the poor.

The party stated that during the removal period, the government should subsidise public transport to reduce the effect on low-income earners and the vulnerable.

The act, according to the party, should be carried out by allowing public transporters to continue to buy fuel at subsidised rate either through a weekly voucher system or exemption from certain statutory fees with an agreement to maintain transport fare at the same rates.

The statement also urged the federal government to partner the public transport and interest groups like the Nigerian Labour Congress (NLC) and the National Union of Road Transport Workers (NURTW) to ensure that the removal of fuel subsidy does not affect the poor.

It added that Nigeria cannot justify spending less than a trillion on education and health respectively last year, but spent over N4trillion on fuel subsidies.

The political party recommended that government should enact a legal framework that incentivises gas development.

The statement read: “Most countries subsidise public transport to assist the poor and vulnerable. This would allow the take-home pay of low-wage workers to truly take them home.

“Most importantly, we believe that subsidy on fuel should be gradually removed within a space of six months to one year to mitigate the impact on the poor.

“During the removal period, the government should subsidise public transport to reduce the effect on low-income earners and the vulnerable.

“This should be carried out by allowing public transporters to continue to buy fuel at a subsidised rate either through a weekly voucher system or exemption from certain statutory fees with an agreement to maintain transport fare at the same rates.”

According to the political party, “Employers may also need to increase their commitment to their social responsibility by revisiting their remuneration structure to protect their junior staff from the severe and dire impact of the removal of fuel subsidy. More needs to be done in the societal interest.”