The Nigeria Labour Congress (NLC) has called on President Bola Ahmed Tinubu to take urgent steps to reduce the impact of rising petrol prices on Nigerian workers and households.
The labour organisation said petrol prices had climbed to about ₦1,430 per litre in major urban centres where the product is readily available, with consumers in less accessible locations reportedly paying even more.
NLC President Joe Ajaero said the latest increase was putting additional pressure on workers’ incomes and worsening the economic difficulties faced by households across the country.
He warned that higher transportation costs would have a ripple effect on the prices of essential goods and services, including food, housing and education.
According to Ajaero, the impact of rising fuel prices extends beyond motorists because increased transport costs raise the operating expenses of businesses and service providers.
NLC Calls for Government Intervention
The NLC acknowledged that recent pressure on domestic petrol prices had been linked partly to renewed conflict in the Gulf and its potential impact on international oil markets.
However, the union argued that Nigeria’s status as an oil-producing country and its growing domestic refining capacity should provide some protection against external price shocks.
Ajaero called for measures that could create a buffer for consumers and reduce the impact of international market disruptions on the domestic economy.
Among the measures proposed by the labour union are immediate wage awards for workers, increased supply of crude oil to domestic refineries through naira-based transactions and an expansion of the country’s fuel storage capacity.
The NLC said such measures could also support employment, economic activity and energy security.
Labour Questions Deregulation Argument
The labour organisation also argued that deregulation should not prevent the government from intervening during periods of severe economic pressure.
Ajaero said government support for citizens could be justified during an emergency, particularly when rising fuel prices are significantly affecting household incomes.
The NLC further pointed to the difference between international crude oil prices and Nigeria’s budget benchmark, arguing that additional government revenue from higher oil prices could provide room for measures aimed at cushioning the effect of rising petrol costs.
Concern Over Domestic Refineries
The labour union also raised concerns about crude oil availability for domestic refineries.
Ajaero questioned why local refineries would still need to source crude from outside the country when Nigeria is an oil-producing nation with expanding refining capacity.
The NLC called for priority to be given to supplying domestic refineries with sufficient crude as part of a longer-term strategy to reduce Nigeria’s exposure to international petroleum market disruptions.
The union maintained that the Federal Government should take steps to address the immediate pressure on consumers while also developing measures that would strengthen domestic refining and energy security.
It also warned that labour would continue to speak out over policies it believes are worsening the financial pressure on Nigerian workers and households.
