Labour: Recent Petrol Price Hikes Testing Nigerians’ Resilience

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LAGOS – Organized Labour raised concerns yesterday, stating that the latest increase in petrol prices is stretching Nigerians to their breaking point. Labour also cautioned the government to anticipate potential public reactions to ongoing fuel price hikes, emphasizing that repeated increases have placed significant strain on the population’s patience and well-being. The union warned that while the Nigerian public remains silent amid severe economic challenges, even the calmest may act when driven too far.

Meanwhile, the Chemical and Non-Metallic Products Employers’ Federation (CANMPEF) highlighted that the rise in petrol prices, following subsidy cuts, has raised logistics and production costs, reducing household income and spending power.

Labour’s warnings emerged as the Independent Petroleum Marketers Association of Nigeria (IPMAN) reported that its members experience long delays in loading petrol from the Dangote Refinery in Lagos, despite prepayments totaling N40 billion to the Nigerian National Petroleum Company Limited (NNPCL). IPMAN argued that petrol prices could be reduced if marketers could buy directly from the refinery.

A union leader, speaking anonymously to Vanguard, revealed frustration that, despite an October 16 meeting with government officials, where labour representatives stressed the widespread hardship and unrest, the price increases continued. “We believed the government would pause the increases to provide some relief. Instead, they’re testing Nigerians’ patience,” the leader remarked, adding that the public’s response to ongoing hikes might soon be beyond the government’s control.

In a related address at the National Association of Nigeria Nurses and Midwives (NANNM) conference in Abuja, Nigeria Labour Congress (NLC) President Joe Ajaero described the nation’s economic indicators as worsening, citing rising electricity tariffs, unaffordable fuel prices, and transportation challenges that have led to food scarcity and widespread hunger. “Unity and strength are essential for us to address the issues and push for governance that benefits workers and citizens alike,” he asserted.

Ajaero further urged the government to recommission public refineries and called for salary reviews to help Nigerians cope with the rising cost of living, referencing a prior agreement with the government on October 15.

Employer Federation’s Position

Speaking on similar concerns, CANMPEF President Devakumar Edwin stressed that the removal of fuel subsidies and liberalization of foreign exchange markets has heightened production and logistics costs, worsening the challenges faced by Nigeria’s manufacturing sector. Edwin advocated for a renewed focus on local manufacturing, citing Nigeria’s 2007 cement policy as a successful model. He suggested replicating protectionist policies for industries like agriculture and petrochemicals, which could position Nigeria as an industrial leader.

IPMAN’s Appeal on Refinery Access

Meanwhile, IPMAN President Abubakar Garima, in an interview on Channels Television, argued that petrol prices could be lowered if marketers could procure directly from Dangote’s refinery rather than through intermediaries. He mentioned that some of his members experienced days-long delays at the Dangote Refinery, despite paying N40 billion in advance to NNPCL.

Garima expressed surprise at Dangote’s recent comments that independent marketers have avoided buying locally refined petrol, and he suggested that Dangote review his pricing to ensure competitiveness. He noted that the direct sale of petrol to independent marketers would not only reduce bottlenecks but also make petrol more affordable for consumers.

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