News
Organised Labour Suspends Petrol, Electricity Tariff Hike
JOINT COMMUNIQUE ON THE RESOLUTION OF TRADE DISPUTE BETWEEN THE FEDERAL GOVERNMENT OF NIGERIA (FGN) AND THE ORGANIZED LABOUR REPRESENTED BY THE NIGERIA LABOUR CONGRESS (NLC) AND THE TRADE UNION CONGRESS (TUC) HELD AT THE STATE HOUSE BANQUET HALL ON SUNDAY, 27TH SEPTEMBER 2020
A Bipartite Meeting between the FGN and the two Labour Centres – Nigeria Labour Congress (NLC) and Trade Union Congress of Nigeria (TUC),
Having been convened at the Banquet Hall, State House, Abuja to discuss emerging labour issues arising from recent cost – reflective Electricity Tariff adjustments and deregulation of the downstream sector of the Petroleum Industry,
Recognizing the public outcry and protest over the recent Federal Government twin policies on Electricity Tariff Reform and full implementation of deregulation of the downstream sector of the Nigerian Oil and Gas Industry resulting in the planned nation-wide industrial action by Organised Labour,
Bearing in mind the spiral and negative impact of COVID-19 pandemic on world economy,
Further bearing in mind that due to impact of COVID-19 pandemic the world is undergoing socio-economic transition which has affected price stability, sustainability of enterprises, employment, and other socio-economic indices,
Acknowledging that the spiral and negative impact of COVID-19 pandemic on the global economy has given rise to the need for a new socio-economic order,
Recognising the need to sustain enterprises for retention and creation of jobs as well as sustainable growth and development,
Acknowledging the need for social concertation between the Federal Government and workers’ representatives, namely the two Labour Centres – The NLC and TUC,
To aid in the dialogue and communication, the Federal Government side made presentations to show the state of economy and the drive behind the recent cost – reflective Electricity Tariff adjustments and deregulation of the downstream sector of the Petroleum Industry,
Bipartite meeting to address and resolve the issues in dispute between the FG and Labour Centres were held on September 15, 24, and 27, 2020,
After exhaustive deliberations on the issues raised by Labour Centres, the FGN stated that it has fashioned out palliatives that would ameliorate the sufferings that Nigerian workers may experience as a result of the cost – reflective Electricity Tariff adjustments and deregulation of the downstream sector of the Petroleum Industry. The palliatives will be in the areas of transport, power, housing, agriculture and humanitarian support.
After thorough debates and negotiations on various issues raised by all parties, the following resolutions were reached and mutually adopted:
ELECTRICITY TARIFF REFORMS
The parties agreed to set up a Technical Committee comprising Ministries, Departments, Agencies, NLC and TUC, which will work for a duration of two (2) weeks effective Monday 28th September 2020, to examine:
the justifications for the new policy in view of the need for the validation of the basis for the new cost reflective tariff as a result of the conflicting information from the fields which appeared different from the data presented to justify the new policy by NERC;
metering deployment, challenges, timeline for massive roll – out.
The Technical Committee membership is as follows:
Mr Festus Keyamo, SAN – Hon. Minister of State Labour & Employment – Chairman
Mr Godwin Jedy-Agba – Hon. Minister of State Power – Member
Prof. James Momoh – Chairman National Electricity Regulatory Commission – Member
Engr. Ahmad Rufai Zakari – SA to Mr. President on Infrastructure – Member/Secretary
Dr. Onoho’Omhen Ebhohimhen – Member (NLC)
Comrade Joe Ajaero – Member (NLC)
Comrade Chris Okonkwo – Member (TUC)
1no. Representative of DISCOS – Member
The Terms of Reference (ToR) are as follows:
To examine the justification for the new policy on cost – reflective Electricity Tariff adjustments.
To look at the different Electricity Distribution Company (DISCOs) and their different electricity tariff vis-à-vis NERC order and mandate.
Examine and advise Government on the issues that have hindered the deployment of the six million meters.
To look into the NERC Act under review with a view to expanding its representation to include organized labour.
The Technical sub – committee is to submit its report within two (2) weeks. During the two weeks, the DISCOs shall suspend the application of the cost – reflective Electricity Tariff adjustments.
The meeting also resolved that the following issues of concern to Labour should be treated as “stand – alone” items:
The 40% stake of Government in the DISCO and the stake of workers to be reflected in the composition of the DISCO’s Boards.
An all-inclusive and independent review of the power sector operations as provided in the privatization MOU to be undertaken before the end of the year 2020, with Labour represented.
That going forward, the moribund National Labour Advisory Council (NLAC) be inaugurated before the end of the year 2020 to institutionalize the process of tripartism and socio dialogue on socio – economic and major labour matters to forestall crisis
DOWNSTREAM SECTOR DEREGULATION
Consequent upon the critical review of the various challenges of the downstream sector of the Nigeria oil and gas industry vis a vis the incalculable losses associated with a subsidy regime the Country has been incurring in terms of, stifled growth in the downstream sector, diminished human capital development and massive financial leakages and flight. This is in addition to the dire financial circumstances of the Federation that precludes any ability to sustain any subsidy on PMS and making deregulation of PMS inevitable. Consequently, the Parties agreed to the following:
All parties agreed on the urgency for increasing the local refining capacity of the nation to reduce the overdependency on importation of petroleum products to ensure energy security, reduce cost of finished products, increase employment and business opportunities for Nigerians.
To address (1) above, NNPC to expedite the rehabilitation of the nation’s four refineries located in Port Harcourt, Warri and Kaduna and to achieve 50% completion for Port Harcourt by December 2021, while timelines and delivery for Warri and Kaduna will be established by the inclusive Steering Committee.
To ensure Commitment and transparency to the processes and timelines of the rehabilitation exercise, the management of NNPC has offered to integrate the national leadership of the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) and Petroleum and Natural Gas Senior Staff Association (PENGASSAN) into the Steering Committee already established by the Corporation.
A Validation team comprising the representatives of the NNPC, Nigeria Extractive Industries Transparency Initiative (NEITI), Infrastructure Concession Regulatory Commission (ICRC), NUPENG and PENGASSAN will be established to monitor progress of the rehabilitation of the refineries and the pipelines/strategic depots network and advice the Steering Committee periodically.
Post rehabilitation, NNPC shall involve the PENGASSAN and NUPENG in the process of establishing the operational model of the Nation’s refineries.
The Federal Government will facilitate the delivery of licensed modular and regular refineries, involvement of upstream companies in petroleum refining and establishing framework for financing in the downstream sector.
NNPC to expedite work on the Build Operate and Transfer framework for the nation’s pipelines and strategic depots network for efficient transportation and distribution of Petroleum products to match the delivery timelines of the refineries as agreed.
The Federal Government and its agencies to ensure delivery of 1 million CNG/LPG AutoGas conversion kits, storage skids and dispensing units under the Nigeria Gas Expansion Programme by December 2021 to enable delivery of cheaper transportation and power fuel. A Governance Structure that will include representatives of organized Labour shall be established for timely delivery.
GENERAL INTERVENTION
To cushion the impacts of the downstream sector deregulation and tariffs adjustment in the power sector, the Federal Government will implement the following:
A specific amount to be unveiled by the FGN in two weeks’ time will be isolated from the Economic Sustainability Programme Intervention Fund and be accessed by Nigerian Workers with subsequent provision for 240,000 under the auspices of NLC and TUC for participation in agricultural ventures through the CBN and the Ministry of Agriculture. The timeline will be fixed at the next meeting.
Federal Government will facilitate the removal of tax on minimum wage as a way of cushioning the impacts of the policy on the lowest vulnerable.
Federal Government will make available to organized labour 133 CNG/LPG driven mass transit buses immediately and provide to the major cities across the Country on a scale up basis thereafter to all States and Local Governments before December 2021.
Housing: 10% be allocated to Nigerian workers under the ongoing Ministry of Housing and Finance initiative through the NLC and TUC.
Consequently, the NLC and TUC agreed to suspend the planned industrial action.
ORGANISED LABOUR;
___________________ __________________
Ayuba Wabba, mni Quadri Olalaye
NLC PRESIDENT TUC PRESIDENT
_________________ __________________
Emmanuel Ugboaja Musa Lawal Ozigi, mni Secretary General NLC Secretary General TUC
_________________ __________________
Williams E. Akporeha Festus Osifo
NUPENG President PENGASSAN President
___________________ __________________
Martin Uzoegwu Chris N. Okonkwo
President NUEE President, SSAEAC
FOR GOVERNMENT:
__________________ _______________________
Timipre Sylva Festus Keyamo, SAN
Hon. Min. of State Petroleum Hon. Min. of State Labour & Employment
__________________ _____________________
Alh Lai Mohammed Godwin Jedy-Agba
Hon. Min. of Information & Culture Hon. Min. of State Power
_________________________
Sen. (Dr.) Chris Nwabueze Ngige, OON, MD.
Honourable Minister of Labour & Employment
_______________________________
Boss Mustapha
Secretary to the Government of the Federation
President Bola Tinubu has ordered a Federal Executive Council committee to move swiftly on measures to further reduce food prices across the country.
The Minister of State for Agriculture and Food Security, Senator Aliyu Sabi Abdullahi, disclosed this in Abuja, on Wednesday.
According to him, the directive focuses on ensuring safe passage of farm produce across transport routes to cut logistics costs.
“The President has given a matching order with a Federal Executive Council committee already handling it on how we are going to promote safe passage of agricultural foods and commodities across our various routes in the country,” Abdullahi said at a capacity-building workshop for Senate correspondents.
0:0
Nigeria, Africa’s most populous nation, has faced worsening food insecurity since the removal of fuel subsidy, high transport costs, and insecurity on major highways disrupted the movement of goods.
Despite government interventions, food remains largely unaffordable for millions.
The minister said the plan is tied to Tinubu’s broader vision of food sovereignty—beyond availability to ensure affordability, accessibility, and nutrition on a sustainable basis.
To back this up, he revealed that government is set to roll out a Farmer Soil Health Scheme to boost productivity and a revamped cooperative reform initiative to mobilise resources and empower rural farmers.
“Mr. President has shown tremendous interest in the cooperative sector as a veritable tool for resource mobilisation, for economic activity generation, and to improve the livelihood of members,” Abdullahi added.
The event, with the theme, “Parliamentary Reporting: Issues, Challenges and Responsibilities,” also featured Senate Media Committee Chairman, Senator Yemi Adaramodu; ex-presidential aide, Senator Ita Solomon Enang; and NILDS DG, Prof. Abubakar Sulaiman.
The Federal Government has warned contractors, including foreign firms, that any breach of regulations in road projects awarded to them may lead to arrest by the Economic and Financial Crimes Commission and the Independent Corrupt Practices and Other Related Offences Commission.
The Minister of Works, David Umahi, issued the warning during an inspection of the ongoing dualisation of the East-West Road (Section IIIA) from Eleme Junction to Onne Port Junction in Rivers State.
The section is being executed by Reynolds Construction Company (Nigeria) Limited.
Responding to questions from journalists, Umahi commended the quality of work on the project but expressed displeasure over the slow pace, stressing that the December completion deadline remains sacrosanct.
On the project, he said:“The quality of the work is excellent, but the pace of work is totally unacceptable. Let me make it very clear to the contractor that this project will neither be reviewed nor varied in price or claims.
“I’m sure we have issued over 10 warning letters to them. If they fail to comply with the completion deadline of December 15, we will not extend it.”
He added that the ministry had already put measures in place to enforce compliance
“The comptroller has negative certificates to issue, and I will recover the money from any of their other projects. All those letters are on record, and when the time comes, they will be invoked. Any contractor who refuses to abide by regulations will have the EFCC and ICPC to contend with,” he said.
Umahi further disclosed that the Federal Government had directed that road projects valued below N20bn would no longer be awarded to expatriate companies, in line with its “Nigeria First” policy aimed at strengthening indigenous capacity in the construction sector.
“This is part of the Nigeria First policy of the Federal Government. Henceforth, no expatriate firm will be awarded any project valued below N20bn. Such projects must go to indigenous companies, while expatriates focus on higher-value projects requiring more technical capacity,” he said.
The minister also noted that the Federal Ministry of Works had adopted a funding prioritisation framework to sustain road projects initially financed by the Nigerian National Petroleum Company Limited under the Road Infrastructure Development and Refurbishment Investment Tax Credit Scheme.
He stressed that President Bola Tinubu had directed that none of such projects should be abandoned, adding that priority would be given to critical economic corridors.
Umahi also decried the indiscriminate parking of heavy-duty vehicles on highways, saying it was damaging the pavements of completed sections of the road.
He said letters would be sent to state governors and the Inspector-General of Police to enforce punitive measures against defaulters.
Earlier, the Federal Controller of Works in Rivers State, Mrs Enwereama Tarilade, said RCC had completed 15km of the right carriageway and commenced work on the left carriageway, with one kilometre already laid in Continuously Reinforced Concrete Pavement.
The Rivers State Government says it will ensure the smooth and successful takeoff of the newly established Federal University of Environment and Technology (FUET), in Ogoniland.
This commitment was made yesterday by the Administrator of Rivers State, Retired Admiral Ibok-Ete Ibas (Rtd), during a courtesy visit by the university’s Governing Council and Management team at the Government House, in Port Harcourt.
The high-level delegation was led by the Pro-Chancellor and Chairman of the Council, Professor Don Baridam and the Vice-Chancellor, Professor Chinedu Mmom.
In his address, Administrator Ibas warmly congratulated the pioneer council and management on their appointments, describing their task as both a recognition of individual accomplishment and a historic call to duty.
“This is not just a recognition of your personal achievements but also a call to history to shape an institution that will have a profound impact on Rivers State, the Niger Delta, and indeed our country,” he stated.
The Administrator commended President Bola Ahmed Tinubu for the establishment of the specialized university in Ogoniland, describing the initiative as “timely and strategic.”
He emphasized that the university’s presence offers a critical opportunity to drive research, innovation, and community-focused solutions to the region’s pressing environmental and developmental challenges.
He further noted that the university’s core focus aligns perfectly with the priorities of his administration.“We consider this university not merely as another institution of higher learning but as a strategic partner in our collective effort to rebuild Rivers State under the ongoing state of emergency and beyond,” he affirmed.
Responding to specific requests presented by the delegation, Administrator Ibas assured the university of immediate support in critical areas essential for the its commencement.
These include the provision of operational vehicles, key facilities, and the completion of the access road to the campus, adding that other vital needs, such as perimeter fencing, refuse disposal, and the issuance of a Certificate of Occupancy, would be addressed within the framework of the state’s broader infrastructure and support programmes.
To ensure swift action, the Administrator directed the Secretary to the State Government (SSG) to work closely with the university’s Governing Council to prioritize the sequence of requests, particularly those tied to the commencement of academic activities in September 2025.
“Let me assure you that Rivers State Government will stand as a dependable partner to the Federal University of Environment and Technology. We see this university as part of our long-term investment in knowledge, innovation, and the future of our youths,” he emphasized.
In his remarks, the Pro-Chancellor and Chairman of the Governing Council, Professor Don Baridam, reaffirmed the university’s commitment to academic excellence, innovation, and community development.
He disclosed that the Federal Government has directed the institution to formally commence its academic session in September 2025, adding that preparations are in full swing to ensure a smooth take-off with adequate infrastructure and resources in place.
“Today’s meeting marks the beginning of a strategic partnership between the Rivers State Government and FUET, envisioned to establish the university as a premier hub for research, innovation, and sustainable development in the Niger Delta”, he said.
-
Featured5 days agoRSG Approves Full Rehabilitation of State Secretariat …Unveils Housing Scheme for Civil Servants, Honours Veterans
-
News5 days ago
RSG Collaborates With Varsity, Firm On PIA
-
News5 days agoUmahi Threatens Defaulting Contractors With EFCC Arrest
-
News5 days ago
NLNG Deploys AI To Boost Domestic Gas Supply, Export
-
Sports4 days ago
IAUE VC Football Cup Final Holds In PH, Wed
-
News5 days agoTinubu To Address World Leaders At UN General Assembly
-
News5 days agoFG Sets December To Decriminalise Attempted Suicide
-
News5 days agoWe’ll Support Federal University Environment And Technology – Ibas