Fuel Subsidy Removal: Delta Riverine Communities Bear the Brunt of Economic Hardship

Odeli David Odeli David

By Odeli David

The people of Delta State’s riverine and coastal communities are experiencing the harshest consequences of the removal of fuel subsidy. Although the economic pain is national, it is felt twice over in the creeks, where daily life depends almost entirely on fuel-powered water transportation.

In upland communities, residents can walk, cycle or take a tricycle to work. In riverine areas, there are no such alternatives. From Koko to Ogheye, Eghoro to Oboghoro, Warri to Burutu and Forcados, and from Warri to Ugborodo, Escravos, Oporoza and Kokodiagbene, every movement is by boat, and every boat runs on petrol or diesel.

When fuel prices rose from about N185 to above N1,000 per litre, transport fares in many riverine communities reportedly jumped from N1,500 to N8,000 per trip. The result has been a severe rise in the cost of food, fishing, trading and basic survival.

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A Forgotten Transport Model

Delta’s riverine people are not facing an entirely new problem, and government is not without a workable template. The administration of Governor Sheriff Oborevwori should consider revisiting the water-transport policy of the former Governor of the defunct Bendel State, Dr Samuel Osaigbovo Ogbemudia.

Ogbemudia treated riverine transportation as a social service rather than a purely commercial venture. His government developed a modern water-transport system, using state-owned ferries and boats at subsidised fares to reduce the burden on coastal and riverine residents.

Delta can recreate that model today through dedicated, affordable routes, including:

Koko–Ogheye Water Terminal, with stops at Eghoro, Oboghoro and Ebrohimi, serving surrounding fishing settlements.

Koko–Opuekeba Route, designed for market women, fishermen and traders in Warri North.

Warri–Burutu–Forcados Corridor, requiring large, safe passenger boats for one of the state’s most important commercial waterways.

Warri–Escravos Corridor, serving Ugborodo, Escravos, Oporoza, Kokodiagbene and other Ijaw and Itsekiri communities.

If the state government provides modern, safe diesel-powered ferries and charges about 40 per cent of the commercial rate, it could significantly reduce transport costs, lower the price of fish and farm produce in Warri markets, and help revive struggling coastal towns.

Fishing Economy Under Pressure

The impact of subsidy removal extends beyond passenger transport. The fishing economy in many riverine communities has come under severe pressure.

A small fishing boat may now spend between N30,000 and N50,000 on fuel for a single trip to sea. In many cases, the value of the catch no longer covers the cost of fuel. As a result, some fishermen have abandoned their boats, reducing household income and threatening food supply.

Government should therefore look beyond transport interventions.

The marine agricultural thinking associated with the Shehu Shagari administration’s Green Revolution offers a useful reference: investment in fishing trawlers, outboard engines, cold-storage facilities and fishermen’s cooperatives.

Subsidy removal should translate into improved livelihoods, not deeper deprivation. The burden of reform cannot be left entirely to communities that already face the highest transport costs.

What Government Should Do

To cushion riverine communities, the Delta State Government should consider the following measures:

Establish a Delta State Coastal Water Transport Authority, similar to Lagos State’s LAGFERRY, to operate subsidised ferries on major riverine routes.

Provide modern fishing trawlers and subsidised outboard engines to fishermen’s cooperatives through soft loans.

Create coastal fuel depots in Burutu, Forcados, Ogheye and Oporoza, allowing DESOPADEC to sell fuel at a special intervention price.

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Extend the Presidential CNG Initiative to marine transport, supporting the conversion of suitable riverine boats to cheaper and more sustainable fuel options.

The riverine communities of Delta State contribute substantially to the state’s oil wealth. They should not be made to pay the highest price for a national reform intended to secure the country’s economic future.

The hardship is real. The solutions are known. What is required now is urgent government action.

Odeli David is a public affairs analyst and writes from Warri.

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