|
Deregulation
and sustainable development
The oil industry, especially the
downstream sector, has experienced phenomenal growth since the introduction of
deregulation. Among the indicators are an increasing number of Nigerian-owned
and managed companies, boost to employment, availability of petroleum products,
and an expanding vista of investment opportunities. These include insurance,
land and sea transportation, depots, security services, maintenance, financing,
retail stations, gas processing and pipeline construction.
A worrisome issue in the sector today is the twin
problem of inadequate local refining capacity and dependence on importation to
meet supply gaps. Our local refineries need refurbishing, and more are required
to be set up to meet domestic supply and even export of finished products.
Licenses for the setting up of refineries have been issued and interest is
being shown in the purchase of the existing refineries. Meanwhile, the prices
of petroleum products are high enough to be biting, but the bulk is purchased
at international rates on the basis of a weak Naira. However, the wait is not
endless and would be worth it. You cannot make omelets without breaking eggs.
Included here are telecommunications, railways,
canals, drainage, dredging, power generation, inter-state transportation,
highways, dams, sea and air ports, information technology networks, industrial
estates, township development, sewage, solid waste management, water supply,
health, education, tourism development, storage, irrigation and trade fair
complexes.
Another major break-through in the nation’s
deregulation process has occurred in telecommunications. With the liberal
enabling environment being nurtured by the Government, millions of Nigerians
now have access to affordable telephony. Today, there are four GSM service
providers as well as several landline operators. The gains in revenues,
employment, facilitation of transactions and general communications have been
phenomenal. It is a large market, the largest in Africa, and opportunities for
expansion abound.
The wave of deregulation is also smoothly flowing
over the gas and petrochemicals sub-sector. In effect, Nigeria has become a
major exporter of liquefied natural gas, and investments are coming into
petrochemicals development.
Given the erstwhile dominance of government in the
developmental scheme of things, deregulation would be effective with the
institution of public sector reforms. For even the most ardent critics of the
Obasanjo administration, these reforms are commendable and yielding results. At
the pleasant risk of repetition, well-meaning Nigerians have increasingly
become proud of growing number of public sector institutions and programmes
that have been revitalized to ensure sanctity, transparency and accountability
in the Nigerian society. Of note here include the National Agency for Food
& Drug Administration and Control (NAFDAC), the Due Process & Budget
Monitoring Office, the Economic and Financial crimes Commission (EFCC), and
Service Compact (Servicom). There are also several other initiatives such as
the recapitalisation of banks and insurance firms, monetisation of fringe
benefits in the public service, the Independent Corrupt Practices Commission
(ICPC), and the repositioned Nigerian Investment Promotion Council.
Today, the Nigerian economy is becoming more
competitive as the private sector progressively takes center-stage. There is
more discipline in the conduct of government business and investments are
steadily flowing in, from within and abroad.
As government sets a more determined focus on good
governance, the deregulation process and its fallouts need to be effectively
communicated to the people using various platforms. In this regards, government
should embark on proactive, rather than reactive, consultations and public
enlightenment.
The Nigerian society is the constituency of
government, and reaching out to the people is a sure means of carrying them
along. Indeed, networking with the local communities will enable government
effectively communicate essence of deregulation and its other laudable
policies, programmes and activities.
Benjamin Fafuye,
Zaria
|
