Nigeria’s New N70,000 Minimum Wage Only Able to Buy About 70 Litres Of Petrol

The recent adjustment in petroleum pump prices by the Nigeria National Petroleum Company Limited (NNPC) has precipitated widespread anxiety and consternation throughout Nigeria.

As initially reported by SaharaReporters, fuel prices have surged to N855 per litre.

This newspaper’s probe found that the NNPC outlet in Ilorin’s Adewole Area, Kwara State’s capital, is currently dispensing fuel at N877 per litre.

Moreover, an image trending online has revealed that certain NNPC stations in northern Nigeria are selling fuel at an astonishing N897 per litre, exacerbating concerns about the escalating cost of living.

A visual inspection of an NNPC station in Lagos, as observed by SaharaReporters, reveals unequivocal adherence to the recently issued directive, with the revised price of petroleum pegged at N855 per litre in the state.

Amidst reports of some Nigerians purchasing fuel at the exorbitant rate of between N1,000 and N1,200 per litre, this report undertakes a critical examination of the purchasing power of the N70,000 minimum wage in relation to the adjusted fuel price.

Specifically, calculations reveal that the N70,000 minimum wage would only suffice to purchase a meager 82 litres of petroleum, assuming a cost of N850 per litre, as stipulated by the NNPC’s revised pricing structure.

As private petroleum stations in some areas of the country continue to sell fuel at the rate of between N1,000 and N1,200 per litre, the purchasing power of the N70,000 minimum wage has been severely compromised.

Specifically, this inflated price would restrict fuel purchases to a mere 58 to 70 litres at the rate of N1,000-N1,200, which the rate at which many Nigerians have been buying.

This crisis is compounded by the Nigeria Labour Congress’s declaration of intent to decide on its next line of action, motivated by the government’s failure to maintain petroleum price stability – a crucial precondition for the congress’s acceptance of the N70,000 minimum wage.

The NLC President, Joe Ajaero on Tuesday said they were betrayed by President Bola Tinubu’s administration.

“We are filled with a deep sense of betrayal as the federal government clandestinely increases the pump price of PMS,” he said, adding that “barely one month after and with government yet to commence payment of the new national minimum wage,” it has increased pump price of fuel in a manner that cannot be explained.

The NLC demanded a reversal of fuel price hike.

Credit: saharareporters.com