Dr Alex Otti, the Governor of Abia State, has pointed fingers at previous political leaders for the current economic struggles faced by Nigerians following the removal of the fuel subsidy, asserting that this decision should have been implemented much earlier.
His remarks come in the wake of the complete deregulation of the Premium Motor Spirit (PMS) market, prompting independent marketers to adjust fuel prices.
Otti made these comments during a presentation at Harvard University, where he addressed the topic ‘Restoring Faith in Nigeria’s Democracy: New Paths to Guaranteed Outcomes.’
Recognized for his efforts in transforming Abia into a state with a leading social index score, the governor emphasized that sustainable development is unattainable without effective governance.
He lamented that Nigeria’s democratic progress over the past 25 years has failed to tackle critical issues such as poverty, unemployment, inadequate power supply, and overall economic decline.
Otti criticized career politicians for letting the nation down, claiming that Nigerians are finally coming to terms with the harsh realities of their leadership failures.
“I must admit that I am among the few professionals and technocrats in leadership positions,” he stated, warning against the risks of entrusting governance to career politicians.
He argued that the current crises Nigeria faces are rooted in the inability to utilize democracy to foster collective prosperity.
According to Otti, past leaders lacked the political resolve to eliminate the country’s petrol subsidy, leading Nigerians to bear the brunt of their inadequacies.
“Just yesterday, it was reported that fuel prices have surged once again amid currency depreciation and other hardships,” he noted.
“The truth is that we have limited choices. This action should have been taken years ago, but the necessary political will was absent. Subsidies on consumption create numerous distortions,” he explained.
He added that unscrupulous businessmen exploit these situations for profit, while some dishonest importers take advantage of subsidy funds without delivering products.
Otti warned that the result is a looming scarcity of PMS, exacerbated by the diversion of fuel to neighbouring countries, often facilitated by corrupt security personnel.
The governor pointed out that Nigeria is now capable of refining fuel domestically, which can help eliminate the costs associated with exporting crude oil and importing refined products. He stressed the need for the government to expedite the privatization of state-owned refineries to enhance local refining capabilities and minimize crude exports.
“My understanding is that the NNPC will cease importing refined products. If subsidies are necessary, they should prioritize supporting local production,” he stated.
Highlighting the depreciation of the naira against other currencies, Otti attributed this decline to Nigeria’s heavy reliance on consumption and a preference for imported goods.
He called for intentional policies aimed at bolstering local production to strengthen the naira, create jobs, and enhance the nation’s Gross Domestic Product (GDP).
