The Nigeria Labour Congress (NLC) has called on the Federal Government to urgently introduce wage awards for workers, warning that escalating petrol prices are severely eroding purchasing power and deepening economic hardship.
NLC President Joe Ajaero issued the demand in Abuja, noting that petrol prices have climbed to approximately N1,430 per litre in major urban areas, and even higher in remote regions. Ajaero cautioned that soaring transport fares risk triggering a cascading wave of inflation across food, rent, school fees, and public utilities.
While acknowledging that recent oil market volatility has been fueled by conflicts in the Gulf region, Ajaero argued that Nigeria, as a major oil producer, must insulate its citizens from external shocks. He stated that the nation deserves a protective buffer against international market turbulence and argued that government intervention via subsidies or palliatives is fully justified during crises, particularly since the government is currently earning between $35 and $40 above its budgeted crude oil benchmark on the international market.
To stabilise the domestic economy and protect livelihoods, the NLC outlined several key measures for the Federal Government: implementing immediate wage awards to offset mounting living costs, making sufficient crude oil available to local refineries paid in naira to curb currency-driven price fluctuations, and expanding national storage capacity to improve long-term energy security. According to the labour union, these steps would protect consumers while creating jobs and stimulating economic value.
The latest price hikes follow a volatile period for global energy markets, with Brent crude climbing amid geopolitical tensions. Regulators attribute ongoing price shifts to crude sourcing, logistics, and domestic refining costs. Compounding these pressures, the Dangote Refinery previously transitioned to dollar-based pricing for petrol, linking domestic pump prices directly to exchange rate movements. Economists warn that while structural reforms are underway, households may face a prolonged adjustment period before real incomes catch up with the cost of living.
