IMPACT OF FUEL SUBSIDY REMOVAL ON TRANSPORTATION SYSTEM IN NIGERIA

Regional Planning

The study investigated the impact of fuel subsidy removal on transportation system in Nigeria. The study employed a descriptive survey research design. Sample size of 70 commuter transporters gotten from a population of 7 licenced motor parks. An oral interview coupled with structure coded sheet as instrument for data collection. The data collected were analysed using simple percentage, from the analysis, result showed that subsidy plays a positive impact on the transport system and as well enhance the good performance of the system. On the contrary, the removal subsidy has a significant negative impact on the transportation system as it reduces the revenue rate, the number of long journey transport vehicles and also reduces the amount of time vehicles are be maintained to be road worthy. Based on these findings, the study recommends that a comprehensive approach that combines targeted assistance, infrastructure investment, capacity building, and stakeholder collaboration is essential to address the challenges posed by fuel subsidy removal and ensure the sustainability and resilience of the transportation sector. By implementing these recommendations, government can mitigate the adverse effects of subsidy removal on passengers and transporters while fostering a more efficient, inclusive, and sustainable transportation system.

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