PDP Caucus Slams Buhari Administration over Fuel Price Hike and Electricity Tariff Increases

The Peoples Democratic Party (PDP) caucus in the House of Representatives has expressed its dissatisfaction with the recent increase in petrol prices and electricity tariffs, describing the move as highly irresponsive to the suffering of the Nigerian masses. At its 18th virtual meeting, the caucus leader, Hon. Kingsley Chinda, criticized the Buhari administration for implementing strangle-hold economic policies on the lives of Nigerian citizens, particularly in a period of economic uncertainty exacerbated by the COVID-19 pandemic. Chinda emphasized that Nigerians have reached the end of their patience and would resist further draconian policies that are not people-oriented.

Key Takeaways:

• The PDP caucus in the House of Representatives has condemned the recent increase in petrol prices, describing it as a third hike since the Buhari administration took office.
• The caucus leader, Hon. Kingsley Chinda, criticized the government for implementing strangle-hold economic policies on Nigerian citizens, particularly in a period of economic uncertainty.
• The PDP caucus noted that the recent increase in pump price would be the third hike since the advent of this administration, and called on President Buhari to reverse the increases to meet the yearnings of Nigerians.
• The caucus leader lamented that the recent increase in electricity tariff is not commensurate with an increase in salary or income of the people.
• Hon. Chinda questioned the government's decision to increase the pump price of fuel from N85 per litre to N162 per litre, citing the disparity in crude oil prices and pump prices.
• The PDP caucus also criticized the implementation of 7.5 percent Value Added Tax (VAT) by the federal government, describing it as a non-people-oriented policy.
• Hon. Chinda recalled that Information Minister, Lai Mohammed, in his attempt to defend the increase in pump price, said that petrol price in Nigeria remains the lowest in the west/central African sub-region.
• However, the lawmaker countered that the minister failed to consider the fact that most of these countries have functional and reliable systems in place, constant and affordable power supply, and their citizens do not depend on alternative power generation like Nigerians do with generators.
• The PDP caucus also expressed its concerns over the issue of insecurity, stating that despite comforting words by President Buhari, six years after his took over the leadership of the country, insecurity is at an all-time high, with insurgent activities, banditry and herdsmen attacks, which were localized in the North-east and kidnapping in the South-south, have all today assumed a national dimension and prevalent in every part of the country.

Statistics:

• Pump price of fuel in Nigeria was N85 per litre in 2015, and has increased to N162 per litre in 2020.
• Crude oil sells for $39.68 in 2020, while the pump price of fuel is N162.
• The government budgeted N450 billion for subsidy in 2020, while PPRA gave a realistic estimate of N750.81 billion to be spent by NNPC as subsidy in 2020.
• In 2015, when this government took over the mantle of leadership, cost of crude oil was 93.17 to 48.66 USD; pump price of fuel in Nigeria was N85 per litre and about N500 billion was said to be paid as subsidy annually.

Sources:

• The Peoples Democratic Party (PDP) caucus in the House of Representatives statement.