The Nigeria Labour Congress has warned the Federal Government against another increment in fuel price. The General Secretary of the NLC, Dr. Peter Ozo-Eson, said in view of the harsh economic situation in the country.
There have been reports that the Federal Government has started paying subsidy on fuel as a result of the increase in the landing cost and total cost of fuel from N122.03 and N140.40 per litre respectively to N145.
Reacting to this report, Dr. Peter called on the government to review its policy on subsidy that led to the increase in the fuel pump price from N97 to N145 per litre last year.
“I do not think that at this time, and given all that we have seen, that Nigerians can be subjected to another round of price increase now. That is why government needs to revisit and rethink its policy. Nigerians cannot take another round of price increase.”
He recalled that the NLC had told the government during the last fuel increase that the policy was bad and not ripe in an import-dependent regime as it was bound to further weaken the naira. he said.
“The policy that is being pursued is not one that can grant you stability in price. When they raised the price to N145, we said so; that with time, given an import-dependent regime, for such a policy, the value of the Naira will be severely weakened.
“We actually remember saying then that before the end of the year, the Naira will be close to N500 to a dollar and it has come to happen. If you translate the current value of the Naira through the template, you are going to find that the landing price would be higher.
“The burden is on the government. That is where the issue of policy comes in. It is government policy that led to the price going to N145. Given the realities on the ground, now the government needs to revisit its own policy.”