Worried by the backlash of the planned withdrawal of fuel subsidy, the Initiative for Peace and Industrial Harmony (IPIH) yesterday asked the Federal Government to negotiate with the Nigeria Labour Congress and Civil Society Organisations.
The NGO, made up of many prominent Nigerians, also claimed that it is worried that the price of kerosene may jump from N50 to N151.15k per litre.
It demanded the introduction of Fuel Fund for Infrastructural Development and Deregulation Impact Mitigation Fund.
The group, which made its position known in a paper on fuel subsidy in Abuja signed by its Coordinator, Dr. Timebi Koripamo- Agary, said: “Negotiation is the best way to resolve the ongoing intractable petroleum subsidy crises.”
Agary, a former Permanent Secretary at the Federal Ministry of Labour and Productivity released the position paper in company with a former Senior Assistant General-Secretary of the Nigeria Labour Congress, Mallam Salihu Mohammed and a Labour Adviser, Mr. Salisu Mohammed.
The position paper reads in part: “The government seems to be determined to go on all alone with the withdrawal of subsidy. But we personally believe that it is a wrong path to take.
“The government should come to the table to discuss this issue and let superior argument determines the path to take. The government should dialogue and negotiate with stakeholders like the Labour, the Civil Society Organisations and the Organised Private Sector.
“The government needs to reach out to these stakeholders because we will all suffer collateral damage if the subsidy is removed.
“We should be engaged in a Post-Deregulation Initiative which should include the introduction of Fuel fund for infrastructural development; provision of urban mass transit systems; expansion of the federal highways; rural road development; creation of a modern railway network development and the establishment of Deregulation Impact Mitigation Fund.
“Most Nigerians have lost count of the number of times the country has had to go on strike to protest increases in price of fuel. The question that keeps coming to mind is why must we always follow the same predictable and costly pattern? A quick glance at this history indicates clearly that Nigeria has lost productive time and resources through strikes. Unfortunately, the cycle may be repeated with the current scenario.
“The first chain in the cycle, i.e. announcement, has been accomplished. The second chain, opposition by Nigerian trade unions and other groups, has also been expressed. From all indications, as things are and based on past experiences, it will grow into ultimatum and possibly strikes, completing the second and third chain by next year when the policy is scheduled to come into effect.
“All stakeholders – government, labour unions, civil society and the organized private sector must come together to find a negotiated solution to the issues. Considering the unstable security situation in Nigeria , any form of strike has the potential to result in far more serious social unrest. This apparent conclusion is that the time has come to engage constructively to achieve mutual objectives.
“In the final analysis, Nigerians have a right to mass action to push for justice. But what would be the point of going to war unarmed, or armed with false intelligence? By engaging government with facts, figures and information about the subsidy process and the oil cabal, we stand a better chance of winning the war on several fronts without even embarking on strike action.
“That way, Nigeria and Nigerians will emerge winners. That Initiative for Peace and Industrial Harmony invites you to join hands in this new approach.”
It expressed fears that the backlash of the removal of subsidy will hurt the poor who are using kerosene.
It added: “Essentially, the subsidy element on current petrol price is N82.30k per litre. Similarly, although ex-depot and pump prices of House Hold Kerosene, HHK is N40.90k and N50 per litre respectively, if deregulated. Consumers would have to pay N151.15k per litre. Essentially, the subsidy element on current kerosene price is N110.25k per litre.”
Excerpt from:
Why Fed Govt should negotiate with Labour, groups on fuel subsidy, by NGO