OIL SUBSIDY REMOVAL AND PUBLIC SERVICE DELIVERY IN EKITI STATE, NIGERIA

Abstract

The study examined the impact of the removal of oil subsidy on public service delivery in Ekiti State, it
also assessed the impact of the subsidy removal on transportation costs in the study area; It further
evaluated the effect of the removal of subsidy on healthcare service delivery in Ekiti State and analysed
the influence of oil subsidy removal in the state education sector. These were with a view to providing
information on the consequences of the oil subsidy removal on public service delivery in Ekiti State.
Primary and Secondary data were used for the study. Using a mixed-methods approach, the research
combines quantitative data from household surveys and sectoral records with qualitative insights from
stakeholder interviews. Results indicate that transportation costs surged significantly (p < 0.01),
limiting mobility for residents and increasing logistical expenses for public services. In healthcare,
rising fuel costs led to a 25% reduction in rural patient visits and a notable increase in operational
costs for medical facilities (p < 0.05). The result also showed that the education sector experienced a
downturn, with school attendance rates declining by 15% among rural students due to elevated
transport costs (p < 0.05). The findings underscore the exacerbation of socio-economic disparities,
particularly affecting vulnerable populations in rural areas. The study concluded that reallocating
savings from subsidy removal into infrastructure development and targeted social programs could
mitigate these negative outcomes. Transparent governance and strategic investments in rural
electrification and transportation networks are essential to balance short-term hardships with longterm developmental gains.