In a significant move, the Nigerian House of Representatives has called on the Federal Government to reverse the recent hike in petrol pump prices. During a plenary session on Wednesday, October 16, 2024, presided over by Speaker Tajudeen Abbas, lawmakers expressed deep concern over the escalating cost of petrol and cooking gas, which is placing an unsustainable financial burden on citizens and exacerbating inflation across the country.
The motion, titled Urgent Need to Suspend the Increased Cost of Petrol and Cooking Gas in the Country and Provide a Stop Gap, was moved by Hon. Sani Ali Madaki (NPP-Kano) alongside over 100 co sponsors. It focused on the need for the government to take swift action to stabilize fuel and gas prices, which have surged following the removal of subsidies and the volatile global oil market.
In its resolutions, the House urged the Federal Government to adopt temporary relief measures, including price reductions, tax cuts, or subsidies on Liquefied Petroleum Gas (LPG) for low-income households. The motion emphasized that the government must act immediately to mitigate the financial strain on ordinary Nigerians.
The House also directed the Nigerian National Petroleum Corporation (NNPC) and the Ministry of Petroleum Resources to expedite the repair and maintenance of domestic refineries. By increasing local refining capacity, Nigeria can reduce its reliance on imported refined petroleum products, which have contributed significantly to the rising costs.
Another significant recommendation was for the Central Bank of Nigeria (CBN) to implement monetary policies aimed at reducing the inflationary pressure caused by the fuel price hikes. The lawmakers noted that inflation is particularly harmful when it affects essential goods and services such as food and healthcare, which are critical to the livelihood of the population.
The House did not stop at addressing the immediate crisis. It also urged the Federal Government to explore alternative energy sources to diversify Nigeria's energy mix. By promoting sustainable and affordable renewable energy solutions, the country could reduce its over-reliance on petrol and gas in the long term, leading to more stable and affordable energy options for all.
Additionally, state governments were encouraged to adopt policies that would alleviate the financial burden on their citizens. One such policy suggestion was to waive taxes or levies on transportation and essential goods impacted by the rising fuel costs.
Hon. Sani Ali Madaki highlighted that the skyrocketing fuel prices have significantly affected the cost of living. From transportation to food and healthcare, almost every aspect of daily life in Nigeria has become more expensive, pushing many families into deeper financial hardship. Businesses, particularly small and medium-sized enterprises (SMEs), are also struggling to cope with higher operational costs, threatening the country’s economic stability and job security.
The motion noted that while the Federal Government had previously announced plans to repair domestic refineries and boost local refining capacity, there had been no significant progress on this front. Without these critical changes, Nigeria remains highly vulnerable to global oil price fluctuations and the continued depreciation of the naira.
The House of Representatives appeal for swift intervention comes with a warning. Lawmakers are concerned that unchecked inflation and the continued rise in fuel and gas prices could lead to widespread economic and social unrest. Already, the financial pressures are deepening poverty and pushing more Nigerians to the brink.
The House has mandated its Committees on Petroleum Downstream and Legislative Compliance to ensure the resolutions are implemented, and to report back within two weeks. This shows the urgency of the situation and the critical need for the Federal Government to take action to avoid an economic crisis.
As Nigerians await a response from the government, this motion from the House of Representatives signals a critical step toward addressing the economic challenges currently facing millions across the country. Only time will tell how swiftly the Federal Government will act to reverse the recent petrol price hikes and bring relief to struggling citizens.