The Centre for the Promotion of Private Enterprise (CPPE) has urged the Federal Government to move quickly with socially sensitive measures that ease the burden of rising petrol prices on households and businesses. The appeal follows a recent adjustment in pump prices from N1,300 to N1,430 per litre.
In a policy brief released on Sunday, CPPE Chief Executive Officer Dr. Muda Yusuf argued that targeted interventions would be more effective and fiscally sustainable than returning to the universal fuel subsidy regime. He cautioned that restoring subsidies would undo difficult reforms and place additional strain on public finances.
Yusuf listed transportation, logistics, electricity supply, food security, healthcare, education and social protection as areas requiring immediate government attention. He said resources generated from subsidy removal should translate into tangible benefits through better public services and infrastructure. "Citizens must see tangible benefits through improved public transportation, electricity, healthcare, education, food security, infrastructure and social protection."
He maintained that the subsidy conversation should now focus on accountability and the quality of public spending. "The issue is increasingly one of fiscal accountability and expenditure quality. Federal, state and local governments must demonstrate transparently how the additional fiscal resources arising from the reform are improving economic and social outcomes."
To reduce transportation costs and ease inflationary pressure, Yusuf called for greater investment in mass transit systems, affordable public transportation, rail freight infrastructure and logistics networks. He also urged authorities to accelerate the rollout of Compressed Natural Gas (CNG), solar energy projects and other distributed energy solutions to lower dependence on petrol-powered energy sources.
Yusuf stressed that vulnerable households and productive enterprises, particularly micro, small and medium-sized businesses (MSMEs), need targeted support as they grapple with rising operating costs. He recommended policies that lower energy, logistics and financing costs for businesses to improve competitiveness. On food security, he called for increased investment in irrigation, rural infrastructure, agricultural logistics and productivity-enhancing initiatives to strengthen domestic food production and moderate food inflation.
