Reincarnation of a Yar’Adua Kind of Administration: Emphasizing Fuel Price Reduction and Stability

Jolaade Ifeoluwayimika

For decades, Nigerians have witnessed the fluctuating trajectory of fuel prices, starting at a modest 6 Kobo in 1973 during Yakubu Gowon’s era and surging to a staggering 750 naira per liter in 2024. From President Olusegun Obasanjo’s administration to this present administration, the price of fuel underwent several changes: On May 27, 2007, the price increased by 15.39% from ₦65 to ₦75.Then, in 2007, under President Yar’Adua’s administration, the price was reduced from ₦75 to ₦65. Also, on January 1, 2012, during President Jonathan’s tenure, the price of fuel increased to ₦141. Shortly after, on January 12, 2012, the price was reduced to ₦97, and further dropped to ₦87 by February 2015. On May 11, 2016, under President Buhari, the price of fuel increased from ₦87 to ₦145. And now, under Tinubu’s regime, fuel price increased to #850. 

In the annals of Nigerian political history, few administrations have elicited as much reflection and discussion as that of President Umaru Musa Yar’Adua, particularly regarding his approach to economic policies, including fuel price regulation. As Nigeria continues to wrestle and struggle with economic challenges, the concept of reincarnating a “Yar’Adua kind of administration” gains renewed relevance, especially in the context of fuel price reduction and stability.

During his administration, Yar’Adua faced the challenge of stabilising fuel prices amidst global economic fluctuations. His administration implemented policies aimed at ensuring a balance between the cost of fuel and the economic well-being of Nigerians. Yar’Adua recognised the impact of high fuel prices on inflation, transportation costs, and overall living standards, leading to his commitment to finding sustainable solutions.

Today, Nigeria continues to grapple with challenges related to fuel price stability. Fluctuations in global oil prices, combined with domestic economic pressures, highlight the need for a pragmatic approach to ensure affordability and economic stability. The removal of fuel subsidies by past presidents, and more recently by President Tinubu, has led to significant fluctuations in fuel prices across the country. It’s crucial to understand the concept of fuel subsidies, which are financial aids provided by governments to maintain fuel prices below market rates. Such subsidies aim to ease the financial strain on consumers, particularly in times when the economy is heavily reliant on fuel.

The effects of fuel price hikes on citizens can be profound and wide-ranging, impacting various aspects of daily life and the overall economy. Higher fuel prices directly translate into increased costs for transportation, affecting daily commuters, especially those reliant on personal vehicles or public transport. Higher transportation costs can lead to increased prices for goods and services as businesses pass on higher operational costs to consumers. The prices of goods also tend to inflate as fuel prices increase and this reduces the standard of living of the citizens. Citizens may experience a decrease in purchasing power as the cost of living rises faster than income levels, particularly impacting low and middle-income households.

Fuel price hikes can also significantly impact students of a university in various ways, influencing both their academic pursuits and personal lives. Many students rely on personal vehicles, public transport, or university shuttles to commute to and from campus. Higher fuel prices directly increase transportation costs, potentially straining already tight student budgets. Increased transportation costs may limit students’ ability to attend classes regularly, participate in extracurricular activities, or access resources off-campus.

Also, students living off-campus may experience higher rent or housing costs as landlords pass on increased transportation and operational expenses. Rising fuel prices can lead to increased prices for groceries and daily necessities, affecting students’ ability to maintain a balanced budget.

In addition, courses that involve field trips or internships may become more expensive to facilitate if they require travel, potentially impacting the scope and diversity of learning experiences available to students. Students involved in research projects or academic competitions that involve travel may face increased costs, affecting project feasibility and participation rates.

Furthermore, financial strain due to fuel price hikes can contribute to stress and anxiety among students, affecting their academic performance and overall well-being.

“Yar’Adua kind of administration” in this context implies revisiting policies that prioritise the welfare of citizens while maintaining fiscal responsibility. To reincarnate Yar’Adua’s approach effectively, contemporary policy makers must consider “Subsidy Rationalisation”. To achieve this, there should be a reinstatement of subsidies on fuel. Addressing the issue of fuel subsidies requires a balanced approach that mitigates fiscal strain while ensuring affordability for consumers.

In conclusion, while the challenges facing Nigeria today are multifaceted, the reincarnation of a leadership style akin to Yar’Adua’s offers hope for addressing critical issues such as fuel price regulation. By prioritising economic stability, affordability, and social welfare, Nigeria can navigate current challenges and build a prosperous future for all its citizens.