NLC demands emergency palliatives, wage awards as petrol hits ₦1,430/litre - Punch Newspapers
The Nigeria Labour Congress has called on the Federal Government to urgently introduce measures to cushion the impact of the rising price of petrol, including the payment of reasonable wage awards to workers and the sale of crude oil to local refineries in naira. The NLC, in a statement signed by its President, Joe Ajaero, on Wednesday, said petrol now sells for about ₦1,430 per litre in major cities, with prices reportedly higher in less accessible locations. The labour centre warned that the rising cost of petrol would further worsen the economic hardship facing Nigerians, noting that increases in transportation costs typically trigger higher prices of food, rent, school fees and other essential goods and services. The statement, titled “Save the Situation Now,” said the latest increase came at a time when government pressure on oil marketers to reduce pump prices in response to lower international crude prices was beginning to produce results. According to the NLC, the latest surge has been linked to the resurgence of conflict in the Gulf, but Nigeria’s status as an oil-producing country means it should be able to provide some protection against international oil market shocks. It said, “As a nation, and as a people endowed with enormous fossil resources, we are deserving of a certain level of protection or buffer against the gales from the Gulf, and indeed, other gales.” The NLC urged the Federal Government to immediately introduce measures to shield households and businesses from the impact of the higher fuel prices. It specifically called for reasonable wage awards for workers, sufficient crude oil sales in naira to local refineries and an expansion of the country’s national petroleum storage capacity to strengthen energy security and prepare for emergencies. The labour union said the measures would not only ease the burden on Nigerians but also create jobs, generate economic value and help address emerging security challenges. It also argued that government intervention, including subsidies, should not be ruled out in an emergency. “There is nothing wrong with government subsidising the needs of citizens, especially in emergency situations like this,” Ajaero said, adding that oil-producing countries were introducing different forms of intervention or palliatives to protect their citizens from the effects of the current global energy crisis. Nigeria raises N748.6bn from FGN bonds as rates ease FG powers Abuja varsity with 3MW solar project FG pushes local production to cut diagnostic imports The NLC further said the Federal Government had benefited from higher international crude prices, claiming that crude was currently selling about $35 to $40 per barrel above the benchmark used in the national budget. It argued that the additional revenue should be regarded as a windfall that could provide fiscal space for interventions aimed at protecting citizens from the rising cost of living. The union also raised concerns over the reported importation of crude by some local refineries, describing the development as contrary to the objective of developing domestic refining capacity. “On a long-term basis, we are equally concerned that local refineries are importing crude. This is unreasonable and unacceptable and defeats the logic and purpose of local capacity,” the statement said. The latest petrol price increase comes amid Nigeria’s broader transition to a deregulated downstream petroleum sector following the removal of the petrol subsidy in May 2023. The policy has exposed domestic fuel prices more directly to changes in crude oil prices, foreign exchange costs, logistics and other market factors. The government and oil-sector regulators have subsequently introduced measures aimed at increasing domestic refining and reducing Nigeria’s dependence on imported petroleum products. The commissioning and ramp-up of large-scale private refining capacity, alongside the rehabilitation of government-owned refineries, have also been central to the Federal Government’s strategy for improving domestic fuel supply and reducing exposure to international market volatility. However, fluctuations in crude prices, exchange rates and supply-chain costs continue to influence pump prices and transportation expenses, with implications for household purchasing power and inflation. The NLC said the government needed to act quickly rather than allow the burden to fall entirely on workers and other citizens. Ajaero said the Federal Government, which he noted was seeking re-election in the coming months, “cannot afford to stand and watch marketers inflict suffering on the citizenry in the name of deregulation.” “Labour has an obligation to speak out or act accordingly,” he added. Deborah Tolu-Kolawole Deborah Tolu-Kolawole is a journalist at Punch Newspapers with four years of experience covering Nigeria’s vast education sector as well as related areas such as politics, health, security, and labour. She blends rigorous reporting with digital storytelling to bring clarity and insight to complex issues affecting learners, educators, and policymakers. Deborah was a nominee for The Future Awards Africa (TFAA) Prize in Journalism, recognising her impactful reporting and contributions to Nigerian media. Her work reflects strong newsroom experience, editorial judgment, and a commitment to accurate, audience-focused journalism. In addition to her reporting, she is fluent in multiple languages and serves as a contributing member of The Punch editorial board.
All rights reserved. This material, and other digital content on this website, may not be reproduced, published, broadcast, rewritten or redistributed in whole or in part without prior express written permission from PUNCH.
Stay informed and ahead of the curve! Follow The Punch Newspaper on WhatsApp for real-time updates, breaking news, and exclusive content. Don't miss a headline – join now!
Stay in the know—fast. Get instant alerts, breaking headlines, and exclusive stories with the Punch News App. Download now and never miss a beat.
