President Bola Ahmed Tinubu had urged governors to develop plans to revive the economy and lessen the effects of subsidy removal.
On Thursday, members of the National Economic Council NEC held a lengthy discussion and formed a committee in response.
According to Bala Mohammed, the governor of Bauchi State, some of their discussions focused on the Nigeria Labour Congress and Trade Union Congress’ suggestion or recommendation that the federal government consider a N702 billion bail-out fund that will take the form of salary adjustments for fuel allowances.
The meeting noted that workers and the most vulnerable citizens in the society to be the beneficiaries as a way of helping them cushion the effect of the subsidy removal.
At the meeting Chaired by the Vice President, Kashim Shettima, governors came to the resolution that a Committee be established to look at modalities for its implementation.
Bala gave the members of the committee to include Kebbi State Governor to serve as Chairman, Anambra Governor to represent the South East geopolitical zone. Benue Governor to represent North Central, Kaduna represent Northwest, Bauchi Governor would represent the Northeast.
Others are Governor of Cross River to represent South South and Oyo State Southwest.
Other intergovernmental agencies listed in the committee includes Budget office, representative of the CBN, representative of the Office of the Attorney General of the Federation, representative of NNPCL, representative of TUC and NLC and of course, Rukayat El-Rufai.
He revealed that NEC mandated the Committee to sit within two weeks and work out recommendations for a wholistic decision that will be taken immediately to alleviate the problem that may be encountered by the removal of the subsidy.
Bala’s words, “NEC has taken very far reaching decisions and deliberations on the issue of the removal of petroleum PMS subsidy and its general impact on the economy.
“Specifically on the issue of National Salaries, Income and Wages Commission, NEC had received recommendations on the various ways and means that the country can use whatever increases that we have in the revenue to mitigate the impact that is going to make on the lives of our workers and all those people involved.
“So they recommended and they gave us a scenario recommending that there should be a consequential adjustment, estimated at N702,919.8 billion as part of the allowances that should be given as petroleum allowance to all workers and as well as a 23 or 25 billion monthly offer to cushion the effect on workers and others suggestion that will go a long way in making sure that there is review of our salaries and wages.
“In addition to the palliative that Governor Katsina talked about, government looked at all the issues, the challenges and problems holistically and set up a small committee of council to review and come up with a term of reference to organize areas specifically where this palliative can come and how it will be dispensed to alleviate the problem of workers and other vulnerable groups”.
