Sunday, 30 July 2023 07:29

Stress In No Subsidy Era: Govs struggle to roll out palliatives, Labour beats war drum

Despite growing calls for palliatives to cushion the effects of petrol subsidy removal, many states have yet to introduce concrete measures to arrest the widespread hardship across the country, Sunday Vanguard findings show.

 

A few states have rolled out packages while others either indicated interest to do so or haven’t done so yet.

In states where governors pledged various palliatives for workers, the measures appear too meagre to address the crippling effects arising from the subsidy removal policy.

President Bola Tinubu had urged the National Economic Council, NEC, which includes state governors, to mobilise palliatives to assuage the sufferings of the people.

This is outside of the Committee raised by the Federal Government to work out palliatives which have eight weeks to submit its report.

There is also the conditional cash transfer (CCT) scheme under which the poorest of the poor should get N8, 000 per month but which has now been put on hold after critics said the cash amounted to nothing going by the astronomical cost of living in the country.

The N8, 000 CCT is built into the N500 billion package passed by the National Assembly recently.

Well-being

As part of the measures to ameliorate the cost of living, the President also recommended a review of the national minimum wage payable to workers nationwide.

Despite the law providing for a national minimum wage of N30,000, the least-paid state worker in Nigeria still receives N18, 000 as minimum wage even as many states struggle to pay the same amount.

Currently, many governors owe salary and pension arrears, a situation that combined to worsen the socio-economic well-being of Nigerians.

Given that subsidy removal led to an increase in prices of goods and services in a country that already suffers 22.77 per cent inflation, many, including government workers, now struggle to survive.

This informed the growing calls locally and internationally for measures to mitigate the sufferings and avoid implosion.

But nearly two months after the no subsidy era commenced and the President’s directive to governors, findings by Sunday Vanguard across the states showed that many have literally done nothing in that regard.

Pay rise

President of Trade Union Congress, TUC, Festus Osifo, shared a gloomy opinion about the palliatives promised by governors just as the Labour movement is threatening to commence strike action on Wednesday if the government failed to revert to the pre-May 29 petrol price of N148.

The price of the product is now between N550 and N617 per litre following deregulation.

Osifo said: “If you listened to the Nigerians Governors Forum, they invited us for meetings and we made our case known to them. There’s nothing specific about palliatives. They said each state should go back and look at what they can do. That’s not how to lead. There’s nothing concrete, there’s nothing we can hold them accountable for.”

 

Sunday Vanguard observed that promises of a pay rise and other pledges are yet to materialize, making the hardship experienced by workers bite harder.

Also, apart from not having confidence in state governors, many expressed fears that the palliatives could be turned into another avenue to siphon public funds.

BAYELSA: Riverine travellers groan

Governor Douye Diri recently revived the moribund Bayelsa State Transport Company, BSTC, with 100 taxis and six luxury buses under a new transport scheme.

The initiative was said to be for workers, students and the general populace in Bayelsa to reduce their sufferings.
But the vehicles are yet to be seen on the roads as commuters grapple with high transport fares in the state.

Riverine travelers are the worst hit given the high fuel consumption of speedboats and other watercraft in the predominantly riverine state.

Before the launch of the new transport scheme for Bayelsans, state civil servants, especially those whose offices are located within the state secretariat complex and annexes, had shuttle coaster buses rendering free services in Yenagoa and environs.

Meanwhile, the buses for workers are few, making many struggle for limited space.

The governor, while handing over the keys of the vehicles to the General Manager of BSTC, Chief Timi Fanama, had assured that the new arrangement would be different from the previous government’s transport initiatives.

In the past, vehicles meant for public transport were repainted and eventually converted to private use by some of the operators of the scheme.

Diri had said: “This is another historic day as we launch this fleet of transport vehicles to alleviate the suffering of our people.

“Now, we have taxis that will run within the city of Yenagoa and its environs to the Niger Delta University at Amassoma, to the airport and the Federal University, Otuoke and other towns.

“I appreciate all Bayelsans for their patience. You know that your government has your welfare at heart.”

RIVERS: Free buses
Governor Simijialayi Fubara, on July 12, 2023, rolled out passenger buses for free intrastate transportation in Rivers State as part of his administration’s interventions to cushion the high cost of living posed by fuel subsidy removal.

The governor, represented by his deputy, Prof Ngozi Odu, unveiled 17 luxury buses in Port Harcourt to convey commuters on designated major routes in the state capital and beyond in fulfillment of a promise made to Organised Labour weeks earlier.

Fubara noted that his administration was “aware of the challenges faced by the populace as a result of the removal of fuel subsidy”. He added: “Consequently, this scheme flagged off today is a deliberate intervention of Rivers government to mitigate the effects of the economic challenges. ‘’

But the President, Movement for the Survival of Ogoni People, MOSOP, Fegalo Nsuke, said the free buses may not address current hardship in the state.

Nsuke said: “It will be practically impossible for free or subsidised bus rides, grain distribution and similar initiatives to mitigate or substantially alleviate the effects of over 300 percent increase in the cost of energy.
“People need a functional system that offers opportunities and encourages production and not to be made to live on humanitarian gestures.

“Given Nigeria’s resource endowments, citizens’ living standards can be significantly improved with investments in infrastructure and investors friendly incentives.

“We also have to face the realities. Workers must get a commensurate pay increase to cope with the pains of subsidy removal.

“Nigerians will not pay the same price for energy as citizens of Saudi Arabia and be placed on a minimum wage of N40, 000 per month”.

KATSINA:Cost of transportation

Sunday Vanguard learned that Katsina State is yet to unveil palliatives for civil servants.

When contacted, Director General Media to the Governor, Malam Maiwada Danmallam, said the state government will soon unveil how it plans to cushion the effect of the subsidy removal on civil servants.

However, it will be recalled that earlier when the petrol subsidy removal was announced, Gov. Radda had summoned an emergency meeting with the leadership of the Katsina State Transport Authority and directed that the cost of transportation for all intrastate services should not be increased.

Similarly, the newly appointed General Manager, Katsina State Rural Electricity Board, REB, Abubakar Abdullahi Matazu, disclosed that plans were underway to establish energy conversion centers in the three senatorial districts of the state.

Matazu said the Radda government would assist people to reduce the cost of fueling vehicles and power generators by converting petrol or diesel to compressed natural gas.

IMO: Free lunch, transportation, others

Imo State government has raised the minimum wage of its workers to N40, 000, in addition to free lunch daily, free medical treatment and free transportation.

Governor Hope Uzodimma’s Chief Press Secretary and Media Adviser, Mr. Oguwike Nwachuku, disclosed this following Sunday Vanguard’s inquiry.

Oguwike said, “Imo students are going to receive bursaries, while the scholarship board is to be activated for the benefit of citizens, who are academically exceptional and cannot fund their education.

“Marketing and Commodity Board is to be reconstituted and plans have reached the advanced stage to set up outlets in the 27 local council areas of the state.

“The idea is for government to buy bulk commodities and sell to the masses at reasonable prices to end the cutthroat prices that traders sell to them.

“Commodities like rice, garri, yam, salt and fertilizer, among others, will be sold to the masses at a controlled cost.

“Farmers in the state are going to have the opportunity to access soft loans from the N5 billion government has set aside for them.

“As I speak, modalities for the enhanced transportation system that will serve the whole people and residents of Imo State are being worked out. More vehicles that would cover all the routes in the state would be bought while additional buses have been earmarked for civil servants.

“Government is also primed to pay gratuities to retirees, commence mass housing programmes, recruit more teachers for primary, secondary and tertiary institutions, as well as extend bursary and scholarship awards for Imo State students among others.”

PLATEAU: Burdened by debt

Plateau State is having difficulties with the payment of salaries of its workforce who had been on strike before the administration of Governor Caleb Mutfwang came on board.

However, there has not been any discussion about palliatives, Sunday Vanguard gathered.

The state is burdened by financial difficulties inherited from previous administrations.

However, Secretary to the State Government, SSG, Samuel Jatau, assured that government would not abandon the workforce in the face of economic hardship.

Also, the Director of Press and Public Affairs to the governor, Gyang Bere, said vehicles had been deployed to convey students, especially from the University of Jos, to their campuses.
His words: “The governor is concerned about the plight of the people and the government is putting in efforts to ameliorate them.

“To cushion the effects of the subsidy removal, we have offered support, which is why vehicles were deployed to convey students, especially from the University of Jos, to their campuses. “We intend to intensify and expand the efforts to ensure other sectors are carried along.

“We are also making efforts to see that farmers get inputs that would assist them in getting a better harvest.”
Meanwhile, some residents of the state have different opinions.

George Pate said: “Plateau State has found itself in a very precarious situation. I heard the debt profile of the state is high. What shall we do to quickly come out of this situation? Workers and pensioners are being owed salaries and pensions since the last administration.

“These issues need to be urgently addressed before the government comes to the issue of palliatives.”

Martha Ashom added, “Plateau State is a special case. The government is trying to settle the backlog of salaries first.
“There is no discussion yet about any form of assistance to cushion the effects of the fuel subsidy removal.
“We are hoping that the Federal Government will intervene urgently so that the poor can breathe.

“It seems the state is also waiting to receive handouts from the Federal Government before they can give to people.”

DELTA: Gov mindful of suffering

Like his counterparts in other states, Governor Sheriff Oborevwori of Delta State is faced with the challenge of ameliorating the economic hardship his people are going through.

The state government is working out plans to cushion the effect of subsidy removal on Deltans.

According to the Chief Press Secretary to the Governor, Mr Festus Ahon, the Oborevwori administration is not unmindful of the untold hardship Deltans are currently facing.

He said the governor would soon come up with palliatives to ameliorate the sufferings of the people.

Ahon’s words: “Government is concerned about the welfare of Deltans. Governor Sheriff Oborevwori has directed political appointees to stay connected with our people to assist them.

“Deltans can be rest assured that they would not be abandoned in this trying time.”

Oborevwori, at a meeting with local government chairmen on June 14, had directed the council bosses to check the activities of revenue collectors to reduce the burden of petrol subsidy removal on the people.

He said the people were facing serious hardship following the removal of petrol subsidy.

“With the hardship, we are facing now with this subsidy removal, I want to appeal to you to talk to your people, your agents and tax collectors not to impose unnecessary taxes on our people,” the governor said.

Last week, the governor approved the payment of N5 billion in promotion arrears to workers in the state.

BENUE: Plea for patience

As the federal and some state governments make efforts to have in place palliatives for the citizenry to cushion the harsh effect of the petrol subsidy removal, the same cannot be said of Benue State.

Though the people have been anxiously waiting for a pronouncement by the state government on the matter, it has not come out in clear terms to make a declaration on what it intends to put in place.

Only recently, Governor Hyacinth Alia, while addressing the All Progressives Congress, APC, Caucus in Makurdi, urged the people to be patient while government was working on putting palliatives together.

He had said: “On palliatives, I urge everyone to be patient as something is being done about it by government.”
Also, early last week, while addressing the 2023 National Convention/Mega Reunion of St. James Minor Seminary Old Boys’ Association, SAJSOBA, the governor reiterated the appeal, urging Benue people to be patient with the system.

Alia said committees had been formed at the federal level “and they are discussing at various levels but at the end of it all, the Federal Government will come up with a policy statement on how the cushioning will be.”

ENUGU: Modalities

Enugu State government said plans to roll out palliatives to cushion the effect of fuel subsidy removal in the state were on ground.

Speaking to Sunday Vanguard, Special Assistant to Enugu State Governor on Research and Publication, Joshua Ejeh, disclosed that the modalities for sharing palliatives had been drawn up and will soon be released.

Ejeh said government was considering bringing out vehicles to convey civil servants to their various offices, cash palliatives, tax reduction, providing fertilizer to farmers and food items among others.

He said:”In line with the current realities in the country, the plan is ongoing in Enugu State and would soon be unveiled.

“We met with the governor on the issue and he assured us that it will soon be released. We are working on the modalities to share because everybody will get palliative based on how it affects them. We are going to provide buses that will convey civil servants to office and other palliatives including money.

“For example, traders will get palliatives either by reducing their tax and others.

“We are trying to make sure that the palliatives get across to everybody in the state. So, we are almost done with the modalities to ensure it goes around the people in the state.”

LAGOS: Work in progress

Governor Babajide-Sanwo-Olu has set aside N5 billion for various social-economic interventions in Lagos.

Though there has not been a definite announcement of any palliative measure by the state government, as part of measures to enhance the economic power of civil servants, Sanwo-Olu had earlier approved the upward review of salary across the board for over 100, 000 public workers.

He approved 20 percent increase in the salaries of civil servants in the state.

The increment affects those in the mainstream public service, local government areas and Local Council Development Areas, LCDAs, as well as the State Universal Basic Education Board, SUBEB.

When contacted, Chief Press Secretary to the governor, Mr. Gboyega Akosile, said the governor has a package to be unveiled soon.

He said: “It is work in progress. The governor is working on so many options. Do not forget that the governor has increased the salary of workers across board this year.

“And he is already working on various socio-economic interventions aimed at cushioning the impacts.

“I do not want to let the cat out of the bag yet. There are plans in the areas of transportation, economic empowerment, food banks and other social benefits. All I can assure you is that there is work in progress to release more palliative packages for workers and residents of the state.”

KEBBI: Expectations

Kebbi State governor, Dr. Nasir Idris, who spoke through his Chief Press Secretary, Ahmed Idris, who spoke to Sunday Vanguard, said the governor is targeting all categories of civil servants for palliatives.

He said vulnerable persons in the state who he believes are adversely affected by the subsidy removal are also included.
Idris said the state was already identifying those deserving of palliatives so that the sharing process would be credible.

The intervention in Kebbi may likely be drawn from the N500 billion the Federal Government planned for 12 million poor families across the country.

However, fears that non-civil servants may not benefit from the gesture and likely hijack of the process by politicians exist.

A resident of Birnin Kebbi, Usman Mustapha, said: “I fear that non-civil servants in the state may not enjoy palliatives because, at the end of the day, politicians may hijack it for their kith and kins. The governor may have good intentions but politicians could spoil things for the state government.”

Also, Hajia Bilkisu Sambo, a non-civil servant, said:” People are truly passing through hell since subsidy was removed.

“I hope Governor Idris would ignore politicians while rolling out the palliatives for the poor in the state because they may bring politics into it. Government should avoid politicization of the disbursement.

ONDO: Public outcry

In Ondo State, government has set up a nine-member committee on palliatives for the people following public outcry.
The committee is led by the Chief of Staff to the Governor, Mr. Olugbenga Ale.

The acting governor, Mr. Lucky Ayedatiwa, said the decision was taken at the state EXCO meeting in Akure.
Ayedatiwa said the council deliberated on the pains being experienced by residents occasioned by the removal of the petrol subsidy.

The committee’s terms of reference include working out remedies for the excruciating effects of fuel subsidy removal “within available resources” of the state.

Members of the committee are the Head of Service, Kayode Ogundele; Commissioner for Finance, Wale Akinterinwa; Commissioner for Economic Planning and Budget, Emmanuel Igbasan; and Special Adviser on Education, Wunmi Ilawole.

Others are the Special Adviser on Union Matters and Special Duties, Dare Aragbaye; Special Adviser on Transport, Tobi Ogunleye; and Chairman of ODIRS, Tolu Adegbie.

The Permanent Secretary of the state Ministry of Economic Planning and Budget, Bayo Philips, will serve as Secretary.

OGUN: Comprehensive package

Ogun State governor, Prince Dapo Abiodun, has approved N10, 000 for civil servants and pensioners every month, for three months.

Payment takes effect from July 2023.

The government also approved hazard allowance for health and medical personnel, food palliative for the most vulnerable citizens, and cash palliative of N10,000 for each public servant including pensioners.

There is also a ‘peculiar allowance’ for public servants in the state, immediate release of promotion letters and payment of March and April 2023 leave bonuses for public servants in the state.

Other palliatives include immediate cash-backing for the quarterly payment of gratuities to pensioners, ensuring that 20 per cent of the staff of Ministries, Agencies and Departments, MDAs, are off-duty daily, resuscitation of the Gateway Trading Company and establishment of distribution outlets across the state.

Fertilizers and other farm inputs are to be supplied to farmers at subsidized and controlled prices.

Other measures include the commencement of conversion of state mass transit buses to CNG including staff buses and current public transportation buses in circulation to reduce the cost of transportation.

OYO: Salary review

Governor Seyi Makinde has set up a salary review committee and directed it to come up with a new salary proposal within eight weeks in Oyo State.

Similarly, the state government rolled out mass transit buses and has equally reduced transport fares by 50 per cent on the buses for senior citizens, 60 years upward, and students.

EKITI: Plans

Barring any unforeseen circumstances, Ekiti State government is expected to roll out its palliative measures.
Speaking with Sunday Vanguard, Chairman of the Nigerian Labour Congress, Ekiti State Chapter, Mr. Kolapo Olatunde, said a meeting with union leaders to fashion out ways of cushioning the effects of subsidy removal had been scheduled.

“I will have information for you immediately after the meeting because some of us felt it was long overdue”, Olatunde said.

“I know that Governor Biodun Oyebanji, being a man of the people, will provide sustainable and concrete palliatives available to the people.

“We are yet to know the nature and dimensions of the palliatives government is planning. It will be premature to start talking about the effects.”

Bashir Bello, Charly Agwam, Femi Bolaji, Ndahi Marmara

KANO: No segmentation

Kano State government has said plans are underway to roll out palliatives for all segments of society and not only civil servants.

The Commissioner for Information and Internal Affairs, Halilu Baba Dantiye, said government would revive and expand the social investment programme initiated by the administration of former Governor Rabi’u Kwankwaso.

Dantiye said the palliatives would come in various forms such as fertilizer for farmers, free education for school children, reviving of the girl child initiative, transportation, school feeding and reopening of the closed entrepreneurship centre for training of youths and women.

According to him, “This government is not new. It is an offshoot of former Governor Rabi’u Musa Kwankwaso’s administration. It has initiated so many social investment programmes.

“We are going to revive and expand these programmes. There were 26 entrepreneurship centres built by the Kwankwaso administration that shut down. We will reopen them to train our youths and women in different entrepreneurship skills and at the end, we will give them starter packs to start up their businesses and become self-reliant.

“We would also revive the 62 high-powered buses bought by the Kwankwaso administration for the Girl Child initiative. All are not working. When revived, it would ease challenges associated with transportation of the students.

“For the farmers, we will give out fertilisers to them. So, there would be no segmentation in the palliatives. Because if you segment, what happens to those segmented?”

BAUCHI: 30 buses

Recently, Bauchi State government bought 30 new Toyota Hiace buses to add to the fleet of the state-owned transport company, Bauchi State Transport Corporation, popularly called Yankari Express, to lessen the burden of high cost of transportation on commuters.

While commissioning the buses, the governor commended the federal government for ending fuel subsidy, calling it a scam.

He assured that soon there will be buses to convey civil servants from their houses to the offices.

Governor Mohammed promised to procure grains and essential commodities for distribution to citizens as part of measures to cushion the hardship occasioned by the recent fuel subsidy removal.

He added that there are plans to procure tricycles and commercial motorcycles to create job opportunities and address transportation challenges.

BORNO: Distribution of food items

In Borno State, many households received food palliatives last week.

The distribution of the food items was supervised by Governor Babagana Zulum, in Baga town, Kukawa Local Government Area.

Speaking at the event, Zulum said: “Distribution of palliatives is one of the priorities of President Bola Tinubu. He (Tinubu) has declared an emergency on food security and in line with this objective, Borno State government is distributing food items in batches to communities. We have provided food and non-food items to over 20,000 men and women.”

Governor Zulum frequently distributes food palliatives to beneficiaries unable to farm in substantial quantities due to Boko Haram insurgency.

YOBE: Gov heads C’tee

Yobe State governor, Mai Mala Buni, has set up a 17-member Palliative Committee to address the economic impact of the removal of fuel subsidy on residents of the state.

The committee is headed by the governor while his deputy, Idi Barde Gubana, is Deputy Chairman.

The body would be responsible for devising and implementing strategies to ensure that the most vulnerable segments of society receive the necessary support.

TARABA: Dialogue

Residents of Taraba State have yet to know what government plans as palliative measures for them.

The state governor, Dr. Agbu Kefas, while speaking last week, said his government would roll out palliatives to ease the effect of the removal of petrol subsidy on residents. He, however, did not mention how he plans to do this.

His words: “I have a very realistic and effective palliative plan for the people of Taraba, which I am going to roll out next week when we get back to the state.

“It will help cushion the effect of the rise in prices of food and non-food items that have gone up.”
“We will also call marketers to a round table to dialogue on the dangerous effect of increasing the price of their commodities at this time.

“We will make them understand why it is dangerous to inflate prices of commodities and why we don’t need to inflict hardship on our people in this challenging time.”

A resident of the state, who didn’t want his name in print, said previous administrations had targeted civil servants as beneficiaries of such palliatives while those in the informal sector were left out.
Another resident, who identified himself as Magnus Bulus, urged the state government to avoid entrusting the palliatives to politicians.

[Vanguard]

 
 
 


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