Despite a shocking resolution from the House of Representatives, President Goodluck Jonathan has intensified consultations over plans to withdraw fuel subsidy.<\/span><\/p>\n The President is also weighing options on when and how to withdraw the fuel subsidy.<\/span> There were strong indications last night, however, that one of the options borders on the need for the presidency to make the withdrawal of subsidy “purely an executive decision.”<\/span><\/p>\n The President is under pressure to adopt executive fiat to withdraw the subsidy.<\/span> According to findings, the presidency was shocked by the alleged ‘cold’ attitude of the House to the proposal on subsidy.<\/span> “You should remember that the Nigerian Governors Forum has endorsed the withdrawal of fuel subsidy. Whatever the House said as being premature, we consider it as its own contribution to the debate,\u201d a top government source said.<\/span><\/p>\n “The President has rather decided to intensify consultations with stakeholders on the merit of the withdrawal of the subsidy. Even the President will still ask the House to have a rethink when it gets all the statistics,\u201d the source added.<\/span><\/p>\n He said Jonathan was also likely to table the issue before all political parties in the country when he has audience with them next week.<\/span><\/p>\n “The audience with parties, especially the opposition, is part of a broad-based consultation programme designed by the presidency.<\/span><\/p>\n “The President does not want the withdrawal of fuel subsidy policy implemented with shocks for Nigerians,” he said.<\/span><\/p>\n Another reliable source in the presidency added: “The government will certainly go ahead with the withdrawal of fuel subsidy by making it an executive decision after due consultations.<\/span><\/p>\n “Once it is made an executive decision, whoever is aggrieved can go to court. As it is now, the unresolved challenge over fuel subsidy removal is affecting the presentation of the 2012 budget.<\/span><\/p>\n “The government cannot be grounded over an issue that is purely executive in nature.”<\/span> Section 16 (1) (b)(c) reads in part: “The state shall, within the context of the ideals and objectives for which provisions are made in this Constitution -control the national economy in such manner as to secure the maximum welfare, freedom and happiness of every citizen on the basis of social justice and equal of status and opportunity.\u201d<\/span><\/p>\n Section 16(2)( c) says: “The state shall direct its policy towards ensuring that the economic system is not operated in such a manner as to permit the concentration of wealth or the means of production and exchange in the hands of few individuals or of a group.”<\/span> The Federal Government is proposing N4.8trillion budget for 2012 with a $70 to $75 benchmark price for oil.<\/span>
But the President may extend his consultations on subsidy withdrawal to all the political parties, including the opposition, next week.<\/span>
A meeting with the parties is billed for Abuja on Tuesday.<\/span><\/p>\n
The House of Representatives had on Thursday technically rejected the removal of fuel subsidy by describing the proposal from the executive as “premature.”<\/span><\/p>\n
\u00a0“In spite of the resolution of the House of Representatives, we have not heard the last word on the matter.<\/span><\/p>\n
Responding to a question, the source said by “virtue of Section 16 (1 and 2) of the 1999 Constitution as amended, the President can take an executive decision to withdraw the fuel subsidy.<\/span><\/p>\n
Responding to a question, the source added: “The withdrawal of fuel subsidy is just now a question of when and how. That is why the President is being calculative in order not to hurt the system.”<\/span><\/p>\n
Apart from the take-off of the Sovereign Wealth Fund, the government is also proposing savings of about N1.2trillion from the withdrawal of fuel subsidy.<\/span><\/p>\n