BY VICTOR AHIUMA-YOUNG
JANUARY 1, 2012 removal of subsidy on Petrol and subsequent hike in the pump price of the product, came unexpectedly and on a day when Nigerian workers like most of their counterpart world over were celebrating the new year.

Like a thunder bolt, it unleashed pains, anguish and frustration on the average workers and the poor masses.

To the working class, the increase is more than a double tragedy because besides the fact that most of them are yet to be paid the now worthless N18.000 new minimum wage including those on the Federal Government pay roll, the money has become worthless as the same government has devalued the national currency and to worsen their hardship, tariff for the erratic electricity has also been increased.

This removal of subsidy has again brought to the fore the argument of many that the Nigerian government and indeed, the ruling elite should not be trusted.

Just a week before the announcement of the subsidy removal, the head of the government’s economic team and the Finance Minister,  Dr Ngozi Okonjo-Iweala, at a town hall meeting organised by the Newspapers Proprietors Association of Nigeria, NPAN, in Lagos, told the nation that the government was still consulting and that not until enough consultations were made, the policy would not be implemented.

Labour unions and civi rights activists march in Lagos to protest the removal of petroleum subsidies by the government on January 3, 2012. Nigerian police fired tear gas to disperse a small crowd burning tyres in Lagos and arrested demonstrators in the northern city of Kano as protests continued over soaring fuel prices. AFP PHOTO

Similarly, this has also gone a long way to show the recklessness and impunity of the government as even the provision in the Petroleum Products Pricing and Regulatory Agency, PPPRA, Act that stakeholders which make up the board of PPPRA must meet before such action is done, was not followed as there was no meeting before the price hike was announced.

Information emanating from the board members has since revealed that President Goodluck Jonathan, simply called the Executive Secretary of PPPRA and ordered him to announce the subsidy removal and the new price regime.

Among others, the Nigeria Labour Congress, NLC, Trade Union Congress of Nigeria, TUC, Petroleum and Natural Gas Senior Staff Association of Nigeria, PENGASSAN and National Union of Petroleum and Natural Gas Workers, NUPENG, are members of PPPRA’s board.

They have declared that no meeting was held as statutorily required before any price adjustment is made.

Illegality of PPPRA’s action

Reacting to the removal of fuel subsidy, President General of TUC, Comarde Peter Esele said the action of the PPPRA was illegal in view of the fact that the board of the regulatory agency had not met before coming out with the pronouncement.

He explained that the law establishing PPPRA requires that members of the board must meet before any decision could be taken.

Esele, who insisted that labour was not going to accept the new policy, said  “Our position in TUC is that the policy is illegal, the price is faulty and we are not going to accept this. The policy pronouncement shows that the Federal Government does not have regard for Nigerians if not, how can they just wake up on New Year day and increase price of PMS by over 120 percent just like that. This is unacceptable to us. The various organs of the NLC and TUC are already consulting and would respond appropriately.”

Similarly, umbrella body for senior workers in the nation’s Petroleum industry, the Petroleum and Natural Gas Senior Staff Association of Nigeria, PENGASSAN, described the subsidy removal “unacceptable and a crass display of bad faith, especially the unilateral increase in the pump price of petrol by the government in the guise of ‘subsidy removal’.

According to the association in a statement by its National Publicity Secretary, Comrade Zaid Kolawole, ” it is a reinforcement of the government’s huge credibility deficit that only a few days after the Minister of Finance stated publicly that no date had been fixed for the so-called ‘subsidy removal’ and that government would further consult with all stakeholders, the same government through the PPPRA could turn around on new year’s day and increase petrol prices stating unashamedly that this latest round of fuel price increase “follows extensive consultation with stakeholders”.

Perhaps holding a “town-hall meeting” is now tantamount to “extensive consultation”. The PPPRA Executive Secretary should tell Nigerians when the Board of the agency of which we are a statutory member met to decide on this policy knowing that the Board is yet to be reconstituted. It is very unfortunate that the only ‘gift’ government can give to long-suffering Nigerians in this new year and season of goodwill is the poisoned chalice of fuel price increase.”

The only option for labour

Meanwhile, Joint Action Front, JAF, umbrella body for civil society allies in the Labour and Civil Society Coalition, LASCO, has applauded labour declaration of indefinite strike and mass action to force the Federal Government and its allies to respect the wishes of Nigerians.

Secretary of JAF, Comrade Abiodun Aremu, told Labour Vanguard that only a prolong and sustained strike, mass action and street protests could force the government to rescind its wicked policy of subsidy removal and unprecedented hike in the pump price of petrol.

He lamented that the government became alienated from the Nigerian people from the onset judging from its anti-people and imperialist policies that had worsen the hardships of Nigerians.

It will be recalled that while addressing protesters at Tuesday mass action in Lagos, Comrade Aremu declared that the struggle was not just about the removal of subsidy, insisting that “Nigerians are protesting the various anti-people policies of the government which have worsened their living conditions over the years.

The policies of government are embedded in fraud and have not done the nation any good but led to decay in infrastructure, increased unemployment, high level of insecurity as well as reduced the standard of education in the country.”

“This is just the beginning as the mother of all protests will commence in the next few days. We are going to take the action down to , the home of President Goodluck Jonathan and move to the major cities across the country until government revert back the price of fuel,”he said.

Vice President of the Nigeria Labour Congress (NLC), Comrade Issa Aremu said the struggle was to liberate Nigerians from “second colonialism” stressing that the struggle was going to be a long between government and citizenry.

According to him “Jonathan told us that he never had shoes now he is trying to remove the shoes of children of Nigerians by denying them the right to education. At a time when the nation is celebrating the New Year, he announced the removal of fuel subsidy. Nigerians must resist this policy which would further impoverish the masses.”