The Nigeria Labour Congress has called on the Federal Government to introduce emergency measures to cushion workers and households from the impact of rising petrol prices.
The NLC also urged the government to sell crude oil to local refineries in naira and expand the country’s petroleum storage capacity to strengthen energy security.
The call was contained in a statement titled, “Save the Situation Now,” signed by the NLC President, Joe Ajaero, on Wednesday.
The labour union said the latest increase in petrol prices would further worsen the economic difficulties facing Nigerians, noting that the product now sells for about N1,430 per litre in major cities, with prices reportedly higher in less accessible areas.
Ajaero warned that the increase would have wider economic consequences because higher transportation costs typically lead to increases in the prices of food, rent, school fees and other essential goods and services.
The NLC questioned why the government would allow Nigerians to bear the full impact of rising fuel prices under the deregulation policy, particularly with the next general elections approaching.
It argued that government intervention to cushion the effect of the increase should not be regarded as inappropriate, particularly during an emergency.
According to the union, the latest surge in petrol prices came at a time when government efforts to persuade oil marketers to reduce pump prices in line with lower international crude prices were beginning to yield results.
The NLC attributed the latest pressure on fuel prices to the resurgence of conflict in the Gulf but said Nigeria’s status as an oil-producing country and its local refining capacity should provide some protection against external shocks.
Ajaero said the government should immediately introduce measures to shield workers, households and businesses from the impact of the higher fuel prices.
He specifically called for the payment of reasonable wage awards to workers nationwide, the allocation of sufficient crude oil to local refineries in naira and the expansion of national petroleum storage capacity.
The labour leader said the measures would not only cushion Nigerians from the immediate impact of higher fuel prices but could also create jobs, generate economic value and strengthen the country’s response to security challenges.
The NLC maintained that government intervention through palliatives was justified in emergency situations, arguing that oil-producing countries had adopted various measures to protect their citizens from the effects of global energy shocks.
Ajaero further said the government’s additional earnings from the international oil market provided room for intervention.
He claimed that the government was currently earning between $35 and $40 more per barrel than the figure used in the budget, describing the difference as a windfall that should be used to support Nigerians during the current period of economic pressure.
