Reforms to kiss off economic hardship and save Nigerians (2)

The dynamics in the energy business (especially in Nigeria’s petroleum industry) has clearly shown the indisputable fact that the nation’s economy can only be critically influenced to a significant point if the economic drivers patriotically allow daily activities in the open market to determine the trend the inflation rate tows domestically. Energy production in the downstream petroleum subsector of this country should, in the right sense of it, positively correlate with the nation’s gross domestic product (GDP), if the major drivers in the oil and gas sector of the economy are truly sincere about seeing this economy work. This point is adduced on the basis of the historical records the economy has followed with the significant influence the petroleum sector exert on national planning and growth over the decades. This is something that cannot just be wished away by a wave of hands considering the outcomes of what is happening today in the petroleum industry; which are to be considered appalling and shameful. Such actions and developments by our leaders are simply ascribed to the corruption in this land. If such disgraceful conducts can be taken away from those concerned, then our nation’s economic hardship will definitely begin a permanent decline, for Nigerians to truly breathe.

The reference point today is the product pricing shenanigans between the Dangote group and the almighty NNPCL. Nigerians better be told the gospel truth regarding what is going on in the petroleum sector because, for close watchers of the oil and gas subsector of this sick economy, there appears to be a serious sabotage  against all efforts to extricate refined products business from continued imports (from within, by the same people responsible for managing official projects and tasks on behalf of the people). It leaves one asking the question: “How can this economy survive if these reformist actions are not aggressively put in place (especially the domestic refining of crude oil and natural gas)”? The nation is in a deep mess with regards to hyperinflation on refined products’ pricing, in the face of boasting and priding ourselves with the globally massive and gigantic oil refining and multifunctional Greenfield facility that is freshly completed by the Dangote group. This is a facility that can adequately and sufficiently service our domestic energy demands, yet, the entire economy is still facing an energy crisis and energy insufficiency. Is it not a big shame that the NNPCL is still engaging in massive importation of refined products (no matter whatever reason those in authority may give as a defence)? 

At the moment, the biggest challenge is the sky-rocketed price of petrol in the land. This shouldn’t be the case in an oil rich economy because all Nigerians, at this tipping point of harsh economic distress, should be strategically relieved of the economic hardship and the psychological trauma that follows it. Numerous human beings in the society can no longer afford a daily meal, presently. This is crazy because, it’s as if the insensitive ruling class operates from another planet in governing this land, seeing the plethora of afflictions bedevilling the vulnerable masses in the land. Something very urgent and drastic needs to be aggressively applied to reset the sufferings in the land. Day by day things get worse for the poor in the streets of Nigeria, with all manners of hardship, problems of life and all manners of difficulties that prompt many to think of taking their lives through suicide. The president should hear us out, and do something to redirect this horrible and very unbearable socioeconomic trend. This must start from lowering the price of PMS rolling out from the Dangote Refinery. The hunger is too much, very excruciating! This piece is, indeed, a save our souls (SOS) plea to Mr. President. Rhetoric should be kept aside for now in addressing the country’s energy challenges which are adversely hurting the economy (not a time for jokes because many Nigerians are dying). 

A “sensitive and listening Tinubu” should start by inviting the organised private sector (OPS), those in the industry to join hands with the government to straighten out this comatose economy, with their capitalist mentalities and shrewd business experiences in recovering and regaining lost economic grounds by taking measures to reduce unnecessary spending, for the business to grow. Such is what is required today for this economy; where loans are still being taken to service old debts (thus weakening and weighing down the naira the more), instead of being utilised for capital/infrastructure expenditure that can improve GDP. The ruling class should apply restraint by cutting down on frivolous spending for now, to aid the economy improve from the current heavy administrative/personnel costs and overheads. Argentina went through a worse economic experience and survived by taking the right measures with reforms that kissed off the bad economy. Why can’t Nigeria today?

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