Shettima has summoned Ministers Kyari and Ribadu to address concerns over the recent fuel price hike and its impact.
In response to the recent surge in fuel prices, Vice President Kashim Shettima has called for a crucial meeting with Minister of State for Petroleum Resources Heineken Lokpobiri, Group Managing Director of Nigerian National Petroleum Company Limited (NNPCL) Mele Kyari and National Security Adviser Nuhu Ribadu.
In his office at the State House in Abuja, the Vice President is holding a meeting with the trio.
On Tuesday, the NNPCL increased the pump price of petrol (Premium Motor Spirit or PMS) from ₦568 to a range between ₦855 and ₦897 per litre.
Continued fuel scarcities and economic volatility within the nation have exacerbated this surge, as private vendors report exorbitant prices that exceed ₦1,200 per litre.
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Following the announcement by NNPC of significant financial difficulties in sustaining fuel supplies, a hike has been observed. Consequently, private petrol stations have closed down in Lagos, Abuja and Kano while long queues are now being witnessed at NNPC stations.
Numerous organizations, such as the Nigerian Labour Congress (NLC), Trade Union Congress (TUC), Nigerian Bar Association (NBA) and Nigerian Medical Association have denounced the surge in fuel prices.
The NLC President, Joe Ajaero had some harsh words for the government regarding their decision to increase prices. He accused them of letdown workers and urged a swift reversal of the hike. Furthermore, Ajaero called on authorities to free those who were detained during protests and put an end to measures that aggravate financial difficulties.
Bayo Onanuga, a presidential aide, justified the price hike by arguing that it was crucial in enabling the NNPCL to continue providing funds for federal revenue.
Onanuga pointed out that the commencement of petrol production at Africa’s biggest refinery, Dangote refinery, could ease some financial strain. He stressed the need to make tough choices for NNPC’s sustainability and stabilize governmental functions.
President Tinubu has been implementing an agenda called “Renewed Hope” since assuming office, which seeks to stabilize the economy and draw in investment through economic reforms.
These measures comprise of discontinuing an expensive fuel subsidy and deregulating the naira. Nevertheless, inflation surged to a record-breaking 34 percent in June – its highest percentage point in three decades – while food prices continued their upward trend. Consequently, authorities have recently raised minimum wages for government employees as well as implemented additional actions aimed at alleviating mounting living expenses.
Reflecting the wider economic challenges that Nigeria faces, there has been a noticeable rise in transportation and food expenses due to the recent surge in fuel prices.
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