Duke to FG: Leverage on gas subsidy to crash cost of goods, services
Former governor of Cross River, Mr. Donald Duke, says natural gas can become a stimulant for industries nationwide if the federal government subsidises the cost and makes it more available and affordable to consumers.
Duke gave the advice at the 43rd Pre-Convocation Lecture of Ahmadu Bello University (ABU) on Friday in Zaria.
Supreme News reports that the lecture was themedThis is your time: Set forth in confidence and with haste.
The former governor said should the federal government consider the option, it would strengthen the country’s quest to achieving global industrial competitiveness.
He said that the move would also crash the high cost of goods and services in Nigeria.
Duke stressed that inadequate investment in the energy infrastructure was one of the mitigations for small and medium enterprises in the country.
According to him, the problem in Nigeria is not about the resources but the will to do the right thing.
”I am coming from the part of Nigeria that did have money, but if they were determined to make things happen, they did.
“The Niger Delta was a single large gas pollutant in the world; until recently, we flared a gas equivalent to 25 million litres of diesel every day.
“If we could harness gas and distribute it throughout the country, it could serve as a good stimulant for companies in terms of reducing the cost of power.
“In Nigeria, power energy consumes about 40 percent of the cost of production averagely; if you can save that 40 percent and reduce it to 10 percent, then Nigerian goods would be more competitive with imported goods,’’ he said.
However, he lamented that factories were closing down in the country while their cost of production made their goods more expensive than the imported goods.
The former governor therefore urged the government to use what the country has in abundance (the abundant gas) to make Nigerian goods and services more affordable.
Earlier, Dr. Suleiman Ndanusa, the chairman of the occasion, urged the graduands to absorb the speaker’s’ knowledge from the topic he presented.
“As you embark on the new charter of your life, the road to success is rarely a straight line; hence, beware of blockages and setbacks that may come your way.”
He said the challenges and setbacks they may encounter were to further strengthen and equip them with the necessary skills to face the challenges of Nigeria.
