Beneficiaries of subsidies ganged up against Tinubu’s govt at inception – Bamidele

…says 2025 budget ’ll address Nigeria’s challenges

…reiterates FG’s resolve not to retrench public servants

Opeyemi Bamidele, Senate Leader, explained how key beneficiaries of fuel subsidies made governance difficult for President Bola Tinubu in the first 18 months of his administration.

Bamidele, who represents Ekiti Central in the Senate, also expressed confidence that the 2025 Appropriation Act would address Nigeria’s socio-economic challenges at both national and sub-national levels.

In a statement issued by his Directorate of Media and Public Affairs, on Monday highlighted the necessity of fuel subsidy removal at the inception of the Tinubu administration and the resistance it faced.

He said, “I am convinced that the president did the right thing by removing the fuel subsidy, for which the 9th National Assembly made provision till May 2023. But the people that made governance difficult for President Tinubu were those benefiting from fuel subsidies.

“It was not common men and women of this country who were benefiting from the fuel subsidy. It was not. It was members of the cabal who had access to the fuel subsidy.

“They are the ones taking away this privilege all in the name and on behalf of the masses. And the masses did not benefit from it.”

He added. “I was part of the 9th National Assembly. At that time, we had agreed with the executive arm that the fuel subsidy should be removed because it was no longer in the overriding interest of the country.

“The Tinubu administration acted based on the policy direction the National Assembly approved before his inauguration on May 29, 2023.

“In the 2023 budget, the National Assembly only made provision for fuel subsidy till May 2023. Whether President Tinubu was removed at his inauguration or not, there was no longer funding for subsidy because we did not make provision for it beyond May 2023.

“He did not say he was going to remove the fuel subsidy. He simply said fuel subsidy was gone simply because the National Assembly only made provision for it till May 2023. Even if he did not say it, the fuel subsidy would have gone in two days after his inauguration.”

Bamidele further explained that continued subsidy funding would have denied sub-national governments their statutory allocations from the Federation Account.

“If the National Assembly made provision for subsidy, it would definitely deny all the sub-national governments from receiving adequate statutory transfers from the Federation Accounts to run their administration.

“If the fuel subsidy was retained, it would have automatically plunged the country into an intractable fiscal crisis, possibly another economic meltdown because the country no longer had the capacity to fund the subsidy programme again.

“The proceeds realised from the fuel subsidy are now being allocated directly to the sub-national governments to drive development and boost the domestic economy. These are the points we need to emphasise in our public engagement.

“Running an economy indeed calls for strategic response. The strategic steps being taken are not something that will yield a positive outcome within 24 hours. If subsidy has not been removed, our economy will have been in shambles or will have been flat on the floor.

“This administration has not been in office for up to two years. So much has been achieved across all strategic sectors, and diverse reforms are ongoing to further deepen the gains of the administration. If fuel subsidy is retained, only God knows what will have happened to this federation.”

Bamidele also assured Nigerians that the 2025 Appropriation Act would significantly address the country’s challenges at both national and sub-national levels.

“Sadly enough, a lot of people are not paying attention to the sub-national governments. For instance, statutory transfers to the sub-national governments from the Federal Accounts have significantly increased. There is not much emphasis on it,” he stated.

The leader noted, “The sub-national governments, both state and local, are also passing their budgets. What is important is to get the focus of the budget at the national level and sub-national levels right.

“What is the focus of the 2025 budget being passed? Does it address the welfare of the people? Does it prioritise the critical sector of the economy, including education? What is the scale of attention being paid to health and social welfare? What is the percentage of the budget going to agriculture?

“Compared to the previous fiscal years, the federal government is devoting less to recurrent expenditure while more is being devoted to capital expenditure. That is a major shift from what had been in practice since the return to democracy. It means we are spending less on consumables.”

Commending President Tinubu for implementing measures to stabilise the economy, Bamidele reiterated that the administration had no plans to retrench public servants.

He said, “This administration is determined not to retrench Nigerian workers regardless of the situation the country finds itself in.

“Retrenching workers is not an option before this administration because it will cause more problems. Look at our situation. We are confronted with grave security challenges that nearly erode the gains of the administration, especially in the area of agriculture. This is mainly because people could no longer go to farms. It was quite a bad situation, but we are gradually coming out of it.

“While it is not yet Uhuru, the security situation is fast improving across the federation today. Some of the IDPs are gradually relocating to their base. Farmers are too steadily returning to their farms. Altogether, things are improving. I am sure that things will be different very soon.”