Category: Fuel

Addressing journalists in Abuja, the National President, Trade Union Congress of Nigeria, Quadri Olaleye, vowed that the union might be forced to take an “emergency decision” if the situation persists after the union’s consultation.

According to him, the union might proceed on industrial action or lead a protest over the matter.

He said, “At the moment, we are watching, we are monitoring and doing some engagements for us to be able to make emergency decisions. When labour takes an emergency decision, you know what it means? It is either strike or protest.

“You can see that even what they are using to investigate the man-made problem is part of the funds made for the Nigerian workers. So we are monitoring and when it is time to take a decision we would. ”

Olaleye said, “Having assessed our political trajectory as a country and the pains occasioned by policies of government at various levels, abuse and neglect of the country’s human and natural resources, threatening unemployment, insecurity, almost N40tn debt, devaluation of the naira, subsidy brouhaha, we have decided to play an active role in the 2023 General Elections.

“The fact that it is the political ruling class that take decisions affecting the socio-economic wellbeing of labour membership/workers is enough justification for the organised labour to get involved in politics. This is because there are very strong linkages between democracy, good governance and workers’ economic wellbeing.”

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In a statement, The Federal Government through the Nigerian Midstream and Downstream Petroleum Regulatory Authority, said the supplier had been identified and appropriate sanction would apply.

“Limited quantity of Premium Motor Spirit, commonly known as Petrol, with methanol quantities above Nigeria’s specification was discovered in the supply chain.

“Methanol is a regular additive in Petrol and usually blended in an acceptable quantity.

“To ensure vehicular and equipment safety, the limited quantity of the impacted product has been isolated and withdrawn from the market, including the loaded trucks in transit.

“Our technical team in conjunction with NNPC Ltd and other industry stakeholders will continue to monitor and ensure quality petroleum products are adequately supplied and distributed nationwide.

“The source supplier has been identified and further commercial and appropriate actions shall be taken by the Authority and NNPC Ltd.

“NNPC Ltd and all Oil Marketing Companies have been directed to sustain sufficient distribution of Petrol in all retail outlets nationwide.

“Meanwhile, NNPC has intensified efforts at increasing the supply of Petrol into the market in order to bridge any unforeseen supply gap.”

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Many filling stations were shut and this led to queues by motorists in the few outlets that dispensed Premium Motor Spirit, popularly called petrol, in Abuja, neighbouring states, as well as in parts of Lagos.

It was learnt that marketers of PMS were still unsure about moves to halt petrol subsidy, considering the fact that the government had projected in 2021 that it would stop the subsidy regime in February this year.

The National President, NARTO, Yusuf Othman, told journalists in Abuja that “our people have parked their trucks and more people are going to park (theirs).”

The National President, Independent Petroleum Marketers Association of Nigeria, Chief Ukadike Chinedu, also stated that: “I’ve explained to you that DPOs are studying the situation around subsidy, since the government has been making various statements on this matter and this has its way of affecting the market,” he told news correspondent.

“They (government) said they want to fully deregulate. That statement and similar ones which some ministers made that by 2022 we are going to start full deregulation, made some PDOs decide to hoard or withhold their products.

“They (PDOs) are doing this to be able to match up with the cost of petrol when it rises above N300/litre upon full deregulation. Now, this became a bottleneck in terms of the chain of demand and supply.

“So people who were taking petroleum products out of Lagos from the PDOs stopped a little bit to be able to look at the market value and their cost of logistics.”

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The President’s Special Adviser on Media and Publicity, Femi Adesina, said this when he featured on Channels Television’s Sunrise Daily programme monitored by newsmen.

“It is a valid thing (to do),” he said, adding, “but is this done because of elections next year? No.”

“It is done because as the minister (of finance) stated, the timing is not auspicious, inflation is still high. In the past eight months, we saw inflation reducing but the last month, it went up again; further consultations need to happen with all the stakeholders… the timing is not right, it will exacerbate the hardship of the people and the President genuinely cares,” Adesina added.

“Politics is a part of our lives, but elections will just be one event in the life of the country. When elections come, they go, the country continues. This fuel subsidy, whether it stays or goes, is going to have a serious impact on the economy.”

Asked about the financial cost of the 18-month extension for subsidy removal, the presidential aide said, “Head or tail, Nigeria will have to pay a price; it is either we pay the price for the removal in consonance and in conjunction with the understanding of the people. The other cost is that borrowings may continue and things may be difficult fiscally for both the state and the federal government. You know how much could have been saved if the subsidy was removed and how it could have been diverted to other spheres of our lives…we have to pay a price.”

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The National Economic Council (NEC) has disclosed that a final decision on the removal of subsidy on petroleum will be taken in June when the provision for its payment in the 2022 budget would have lapsed.

Answering reporters’ questions at the end of the monthly meeting attended by all the 36 state governors and other top government officials, Nasarawa State Governor, Abdulahi Sule, who spoke on behalf of NEC, said it was understandable that provision for the payment of the subsidy in the 2022 Appropriation Act will end by June.

According to him, any decision on the removal of subsidy will be taken after the budget provision runs its course in June.

He stressed that even though NEC had before now set up a committee on the issue of fuel subsidy, it was yet to take a position on it.

The TUC Deputy Secretary, Nuhu Toro, disclosed in Abuja, that the congress would hold a meeting over the subsidy issue.

Toro disclosed this ahead of the National Executive Council’s meeting on Thursday(Today).

He said, “We are having a meeting tomorrow (Thursday). The congress will disclose its decision after that meeting.”

Also speaking with newsmen, the Association of Senior Civil Servants of Nigeria opposed the plan by the Federal Government to remove the fuel subsidy and increase the pump price.

The ASCSN President, Tommy Okon, said his association and Nigerians would resist the move.

He said, “Of course, Nigerians are rest assured that they would be defended by our union; that’s why we are here and that’s why we are saying it is a wrong decision to take at this time when workers wages are still stagnant. No increase, they have not made any provision.

“The transport system has not been looked into. So, you just wake up and say you are removing fuel subsidy. Where in other climes has this been done? Even when you give the subsidy, is it not the wealthy few that still hijacked it? The fight is not about workers, it is what Nigerians must rise and resist.”

Minister of Finance, Budget and National Planning, Zainab Ahmed said this, at the launch of the World Bank Nigeria Development Update in Abuja, stating that about 30 to 40 million Nigerians, who are the poorest in the country, would have access to the grant.

She said, “The subsidies regime in the [oil] sector remains unsustainable and economically disingenuous.

“Ahead of the target date of mid-2022 for the complete elimination of fuel subsidies, we are working with our partners on measures to cushion the potential negative impact of the removal of the subsidies on the most vulnerable at the bottom 40% of the population.

“One of such measures would be to institute a monthly transport subsidy in the form of cash transfer of N5,000 to between 30 – 40 million deserving Nigerians.”

“We are very optimistic that the recent developments in the oil sector, such as the Petroleum Industry Act 2021, hopefully, the full reactivation of the four public refineries in the country, and the completion and coming on stream of the three private refineries under construction in 2022, would significantly boost contribution from the sector to our economic growth efforts.

“I agree with the report that with the expansion of social protection policies during the pandemic, the government has an opportunity to phase out subsidies such as the PMS subsidy while utilizing cash transfers to safeguard the welfare of poor and middle-class households,” the minister added.

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The South-West Zonal Chairman of NUPENG, Mr Tayo Aboyeji, in an interview with the News Agency of Nigeria in Lagos said the union has lost many lives and properties due to bad roads.

“This is not the first time that we will signify our intention to go on strike but we have to call it off because it will generally affect majority of Nigerians but now our hands are tied.

“We are going on nationwide strike because of the deplorable and shameful state of our highways.

“When a truck loads petrol in Lagos, the drivers spend five to six days to get to Abuja because of the shameful state of the roads.

“All calls by the executive of petroleum unions have fallen on the deaf ears of the government as the highways continue to deteriorate nationwide.

“The increase rate of fire incidences involving petroleum tankers with accompanying massive destruction of lives and properties of our members and general public is enough.

“This is because of government failure to enforce installation of safety gadget on tanker.

“The unions do not want any truck to carry more than the approved capacity,” he said.

“We know that the present administration would not do anything until we start the nationwide strike,” he said.

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