Nigeria: From petrol to auto-gas, by Reuben Abati

The Nigerian Government deregulated the downstream petroleum sector with effect from March 19, 2020. The key argument was that the fuel subsidy regime which gulps billions of Naira annually, had become unrealistic and unsustainable. One or two months later, with the impact of COVID-19 biting hard, disruptions in the global demand and supply chain turning everything askew and the corresponding effect of these factors on government revenue which had dipped terribly, government pointed to additional justifications for its action.  It was further argued that the subsidy regime benefits the rich…