The Nigeria Employers’ Consultative Association has warned that the federal government’s fuel subsidy reforms will lose public and economic justification unless increased revenue produces visible improvements in living standards, business competitiveness and employment.
NECA Director-General Adewale-Smatt Oyerinde said the association supported Finance Minister Taiwo Oyedele’s position that the reforms should be sustained, but insisted that success could not be measured simply by the amount of money collected by government.
In a statement, Oyerinde argued that fiscal gains meant little to households facing rising transport and food costs or to businesses struggling with expensive energy and weak consumer demand. He cited reports of petrol prices around ₦1,400 per litre and diesel prices near ₦1,900 in some locations, describing their effect on small and medium-sized enterprises as particularly severe.
NECA called for targeted, transparent social protection for vulnerable households, alongside improvements in power supply, transport infrastructure, regulatory efficiency, security and access to investment. The association said savings and additional oil revenue should be channelled into projects capable of reducing production costs and creating sustainable jobs.
Oyerinde also urged greater investment in agriculture, storage and food processing to reduce losses and ease food inflation. He said the government needed to demonstrate how reform proceeds were being used and what measurable benefits Nigerians could expect.
The employers’ body maintained that affordable electricity should be a central priority because reliance on costly alternative power undermines manufacturing and limits the growth of smaller businesses.
