ASSESSING THE ECONOMIC CONSEQUENCES OF FUEL SUBSIDY REMOVAL ON ROAD TRANSPORTATION COST IN DELTA STATE, NIGERIA

Authors

  • Adogbeji Oghenenyerhovwo Elvis Dennis Osadebay University
  • Ogbe Bright Dennis Osadebay University

DOI:

https://doi.org/10.33474/percipience.v4i2.24398

Keywords:

Fuel Subsidy, Fuel Subsidy Removal, Transport Cost, Delta State

Abstract

The removal of fuel subsidies in Nigeria remains a highly debated policy, with some experts viewing it as a driver of poverty and others as a fiscal reform opportunity to reallocate national resources. This study examines the economic consequences of fuel subsidy removal on road transportation costs in Delta State, focusing on its effects on commuters and transport operators while identifying viable policy interventions. Guided by the Resource Dependency Theory (RDT), the study employed a descriptive survey design. Data were collected through structured questionnaires administered to 240 purposively selected respondents, and analyzed using simple percentage and chi-square tests. The findings reveal that the removal of fuel subsidies significantly increased transportation costs in Delta State, while existing government measures to cushion the effects have shown limited success. The study recommends that the Delta State Government should revitalize the Delta Mass Transit system (popularly known as Uduaghan Bus) and promote the adoption of electric vehicles through targeted subsidies to mitigate rising transportation costs.

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Published

2025-04-28

How to Cite

Elvis, A. O., & Bright, O. (2025). ASSESSING THE ECONOMIC CONSEQUENCES OF FUEL SUBSIDY REMOVAL ON ROAD TRANSPORTATION COST IN DELTA STATE, NIGERIA. PERCIPIENCE International Journal of Social, Administration, & Entrepreneurship, 4(2), 75–87. https://doi.org/10.33474/percipience.v4i2.24398

Issue

Vol. 4 No. 2 (2025): PERCIPIENCE

Section

Articles

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Copyright (c) 2025 Adogbeji Oghenenyerhovwo Elvis, Ogbe Bright

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This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.