Ogun State Governor, Dapo Abiodun, engages with Ogun State NLC, TUC, and JNC leadership in alleviating the effects of the petrol price increase resulting from subsidy removal.
During the meeting held at his office in Oke-Mosan, Abeokuta, Abiodun acknowledges the adverse effects of the subsidy removal on workers’ disposable income. He emphasizes the need for stakeholder collaboration to develop practical solutions to ease the burden on the people.
Abiodun clarifies that the proposed options are not meant as compensation for the price increase but as measures to minimize its impact.
The governor said, “”since the announcement of the subsidy removal, I have been concerned about the multiplier effects as it would affect workers in the course of going to job and how it would affect their responsibilities and wellbeing.
“We are not, as a responsible administration, unmindful of the consequences the deregulation would cause in terms of its effect on the disposable income of the workers. We have noted that the price of petrol is now N500 from slightly above N200. There is a relationship between the cost of PMS and transportation and the cost of transportation and the cost of goods and services.
Governor Abiodun recognizes the challenging decision made by President Ahmed Tinubu, emphasizing the absence of a budgetary provision for subsidies.
“What obtained in the past was that N4 trillion was spent annually. We had to borrow the money to subsidize our energy cost, and it was not efficiently utilized. Our petrol made their way to Cameroun, Benin Republic, Togo and other West African countries around us.
“”We are confident that with this action, we can know the true consumption of PMS in Nigeria and the savings can be used for other sectors for the benefit of our people,”” he said.
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In his statement, the Chairman of NLC in the State, Hameed Benco Ademola, expressed that the governor had promptly convened the meeting to explore measures to alleviate the impact of petrol deregulation on civil servants and individuals in the informal sector.
Ademola applauded the governor for addressing workers’ concerns, highlighting that this gesture would significantly contribute to fulfilling their requirements.
The meeting was attended by representatives from TUC, NLC, JNC, the Head of Service, Mr Kolawole Fagbohun, and several Permanent Secretaries.