In Nigeria, there is a debate surrounding the removal of tariffs on compressed gas imports and the removal of fuel subsidies. Mr Taiwo Odediran, the CEO of 'Gas Nigeria Initiative' (GIN), argues that the current tariffs on compressed gas imports are hindering the growth of the gas economy and suggests that they should be removed or reduced [e3cccd15]. He believes that by making it more affordable to import containers of compressed gas, the barriers to entry for businesses in the gas sector would be lowered, leading to increased investment in gas infrastructure and the development of a more robust gas economy in the country [e3cccd15]. On the other hand, there are concerns about the removal of fuel subsidies in Nigeria. It is argued that the removal of fuel subsidies has led to mass suffering and deaths, and African countries influenced by the IMF and World Bank are being pushed into poverty [757d3f3d]. The IMF and World Bank's neoliberal capitalist model, which advocates for the removal of subsidies, has not led to progress in any country [757d3f3d]. Instead, it is suggested that corruption in fuel subsidy management should be addressed and the subsidy reinstated for the common good [757d3f3d]. President Tinubu's team is urged to explore homegrown developmental economics models that prioritize governance and citizens' welfare [757d3f3d].
According to a study by Joe Shapiro, an economics professor at the University of California, Berkeley, higher tariffs on goods with larger carbon footprints could potentially reduce carbon emissions. The study found that if every country set a single tariff for all goods, demand for dirtier goods would decrease, leading to a significant reduction in global carbon dioxide emissions. However, the potential impact of higher tariffs on reducing carbon emissions is still uncertain and requires further research [51afce10]. Steel production in the US has become cleaner over the years due to the use of energy-efficient electric arc furnaces, while other steel-producing countries like China and India still rely on coal. The use of higher tariffs on goods with larger carbon footprints could be seen as a subsidy to greenhouse gas emissions, as lower tariffs are charged on imported goods that emit more greenhouse gases. The study also found that higher tariffs on steel increased US steel production by about 2%. It is important to note that the potential environmental benefits of higher tariffs are still being studied and evaluated [51afce10].