The Trade Union Congress of Nigeria (TUC) has placed the blame for Nigeria’s skyrocketing petrol prices on government policies regarding foreign exchange.
TUC President Festus Osifo, speaking at a media briefing in Abuja, argued that the rising cost of fuel is not solely linked to crude oil prices on the international market but is largely driven by the government’s failure to stabilize the naira and provide affordable forex for the energy sector.
Osifo emphasized that the government must intervene by offering a special forex rate to the energy sector. He believes that this step would significantly reduce fuel prices, providing relief to millions of Nigerians currently facing severe economic pressure.
“The energy sector’s access to foreign exchange is critical,” Osifo stated. “Without a dedicated policy to ensure affordable forex for importers and marketers, the price of fuel will continue to rise, regardless of international crude prices.”
In addition to the forex policy reform, Osifo called on the Federal Government to issue more licences to marketers, allowing them to source petroleum products directly from the Dangote Refinery. This, he argued, would enhance competition and bring down the costs for consumers.
While addressing the issue of transportation costs, Osifo acknowledged the government’s recent delivery of Compressed Natural Gas (CNG) powered vehicles as part of its palliative measures. However, he criticized the scale of the effort, noting that the number of CNG vehicles received was insufficient to address the high cost of transportation that workers face daily.
“The CNG-powered vehicles are a step in the right direction, but their limited availability means they can’t make a significant impact on reducing transport costs for Nigerians,” he said.
The TUC’s recommendations come at a time when Nigerians are grappling with high inflation and fuel prices, which have led to widespread dissatisfaction.
Osifo’s call for a comprehensive forex reform and expanded market access reflects growing pressure on the government to find sustainable solutions to the energy crisis and alleviate the economic burden on workers.
The TUC has vowed to continue advocating for policies that protect the interests of Nigerian workers while urging the government to prioritize the stabilization of fuel prices through strategic reforms in the energy and foreign exchange sectors.