Fuel Price Hike: Reps Warn of Unrest as FG-Labour Talks Stall

The House of Representatives has issued a warning that the recent increase in fuel prices could lead to social unrest. This caution comes as a meeting between the Federal Government and labour leaders ended in a deadlock on Wednesday.

Last week, petrol prices surged at NNPC retail outlets, rising to N1,030 per litre in Abuja from N897, and to N998 per litre in Lagos from N868. This marks the second price hike within a month, totaling an increase of approximately 14.8% or N133. The rise in fuel prices has subsequently driven up transportation and food costs nationwide.

In response, organized labour groups and the Organised Private Sector have demanded an immediate reversal of the price hike. Both the Nigeria Labour Congress and the Trade Union Congress condemned the increase, calling for swift action.

During plenary, the House urged the Federal Government to reconsider the hikes in petrol and cooking gas prices, citing the current economic hardships faced by citizens. This resolution followed a motion of urgent public importance moved by Minority Leader Kingsley Chinda and supported by over 100 other members.

Titled “Urgent Need to Suspend the Increased Cost of Petrol and Cooking Gas in the Country,” the motion highlighted the difficulties Nigerians have encountered in meeting their basic needs in recent months.

Chinda expressed concern over the rising prices of petrol and cooking gas, stating that these increases impose an unsustainable financial burden on ordinary Nigerians and worsen the cost of living. “The removal of fuel subsidies, combined with global oil price volatility and naira depreciation, has significantly contributed to the rising costs,” he said.

He warned that the escalating fuel and gas prices impact transportation, food, essential goods, and healthcare, leading to higher inflation and pushing more families into financial hardship. He also noted that small and medium-sized enterprises are struggling to cope with increased operational costs, threatening economic stability and job security.

Chinda recalled that the government, led by President Bola Tinubu, had previously announced plans to repair domestic refineries to address these challenges but lamented that significant results had yet to materialize.

He cautioned that unless immediate action is taken to control rising costs, Nigeria could face an economic crisis, leading to increased crime rates and mortality.

House Minority Whip Ali Isa condemned the frequent price hikes, stating, “The people are suffering due to the increase in fuel prices. The government must listen to the cries of the people and review any policies negatively affecting them.”

Representative Yusuf Gagdi echoed these sentiments, emphasizing that the motion aligns with the current struggles faced by Nigerians.

Deputy Minority Whip George Ozodinobi noted that the fuel price increases render the new minimum wage of N70,000 nearly meaningless in light of rising costs. He called for a review of Nigeria’s participation in the Organisation of the Petroleum Exporting Countries (OPEC) to better address these issues.

Following the adoption of the motion, the House called on the Nigerian National Petroleum Company Limited, the Ministry of Petroleum Resources, and other relevant agencies to expedite repairs and maintenance of domestic refineries to enhance local refining capacity. The House also urged the Central Bank of Nigeria to implement monetary policies that mitigate the adverse effects of fuel price hikes on inflation, particularly regarding essential goods and services.

Furthermore, the House called on the government to explore alternative energy sources and diversify the country’s energy mix to reduce reliance on petrol and gas.

In light of labour leaders’ insistence on a reduction in fuel prices, a Federal Government delegation led by Secretary to the Government of the Federation George Akume held a closed-door meeting with union representatives in Abuja on Wednesday.

Sources indicated that the meeting did not yield a resolution, as the Nigeria Labour Congress remained firm in its demand for a reversal of the price hike.

Minister of Information Mohammad Idris stated that engagement with labour leaders would continue, emphasizing the importance of ongoing dialogue. “This is a work in progress. We will continue to engage with labour for the benefit of the country,” he said.

Written By: Praise Inalegwu

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