Subsidy palliative: Labour demands transparency, as FG begins disbursement of N25,000 to households
…15million households to benefit from N1trn conditional cash transfer for three months — FG
…Cash transfer crucial in helping overcome initial hardship period — World Bank
…Organised Labour demands speedy implementation of MoU
By Moses Adeniyi and Joel Oladele
While President Bola Tinubu on Tuesday declared the commencement of the disbursement of N25,000 per month to 15 million households as conditional cash transfer, a part of palliative measures to cushion the impact of subsidy removal on premium motor spirit (PMS), popularly called petrol, the Organised Labour has placed a demand on the Federal Government to ensure nothing less than transparency in the process.
The conditional cash transfer is one of 15 items in the Memorandum of Understanding (MoU) between the Federal Government and the Organised Labour signed on Monday, October 2, 2023.
President Tinubu at the Press Gallery of the State House, Abuja, on Tuesday barely two weeks after the MoU signed with Labour said: “I hereby flag off the Renewed Hope conditional cash transfer programme for 15 million households targeted at uplifting poor and vulnerable Nigerians as an immediate intervention to cushion the effects of fuel subsidy removal and other economic shocks.”
Speaking on Tuesday, which is also the International Day for the Eradication of Poverty, Tinubu, who was represented by the Secretary to the Government of the Federation, George Akume, said his administration is “partnering with the World Bank Group and other development partners to implement conditional cash transfers, business grants and other forms of support for the most vulnerable households via the National social safety net expansion programme.”
“The theme of this year’s commemoration, Decent Work and Social Protection: Putting dignity in practice for all, is no doubt in perfect alignment with the Renewed Hope agenda.
“My government will lead from the front in seeking to ensure that all Nigerians have opportunities decent for dignified work and sustained social protection,” he mentioned.
However, he said the government is working to develop and deploy several other solutions and interventions to help Nigerians of all walks of life.
These include an investment of N100billion to purchase 3,000 units of 20-seater Compressed Natural Gas-powered buses for cheaper transportation; an investment of N200bn to cultivate 500,000 hectares of farmland to improve food security; the release of 2,000 metric tons of grains from the strategic grain reserves to households across the 36 States and the Federal Capital Territory and the distribution of 225,000 metric tons of fertiliser and seedlings to farmers committed to the nation’s food security.
Others are the release of N75 billion to support 100,000 SMEs and start-ups, Renewed Hope Shelter Programme for the Poor, Refugees & Internally Displaced Persons targeted at one million households and Renewed Hope Business Grants & Loans for Vulnerable Market women, farmers, and traders to expand their business targeted at two million beneficiaries, among others.
The Minister of Humanitarian Affairs and Poverty Alleviation, Dr Betta Edu, said 61 million Nigerians stand to benefit from the scheme every month in October, November and December.
“So in total, 15 million households will be receiving 75,000 Naira over three months. This equates to about 61 million Nigerians directly benefitting from the conditional cash transfer.
“Why do we call it conditional cash transfer? And what really can it do for Nigerians? If we are sincere with ourselves and as a country, we all must put our hands together to make progress.
“We must recognise the fact that indeed there is a need for that urgent intervention to Nigerians.Nigerians need to feel the renewed hope agenda,” she said.
In addition, Edu said beyond the cash transfers, the FG will provide “low-cost shelter for the poor and internally displaced persons as a form of providing that cover for them.
“Several other interventions, including the Rural Vocational Skills Intervention, will be carried out at mass scale.
“All of these are targeted at the various dimensions of poverty in the country.”
Federal Minister of Finance and Coordinating Minister of Economy, Mr Wale Edun, said the 63 percent statistics of Nigerians living in poverty is unacceptable to President Tinubu.
“Clearly, to Mr. President, it is totally unacceptable as it is to the rest of us. And that is why it is perhaps his number one priority, tackling poverty and he has a programme to stabilise the economy and grow it in general,” he said.
…Cash transfer crucial in helping overcome initial hardship period — World Bank
Meanwhile, the World Bank country representative, Shubham Chaudhuri, confirmed that cash transfers are widely applicable to reducing poverty, saying it will help in cushioning initial period of hard phase of the policy.
Chaudhuri noted that the method is one of the most effective in assisting citizens, particularly the impoverished and vulnerable, who have been impacted by economic shocks or rising living costs.
“This aid is crucial in helping them overcome the initial period during which they might otherwise be compelled to make decisions with long-term consequences.
“For instance, these decisions might include reducing daily meals to just one or withdrawing their children from school.
“The type of cash transfer referred to as ‘shock-responsive cash transfer’ that is currently being implemented is utilised by countries worldwide to offer temporary relief in such situations,” he said.
Afterward, the President presented dummy cheques of N25,000 each to five beneficiaries: Larai Suleiman, Shuaibu Hassana, Sariki Gamu, Okor Jonah and Hameed Kosemani Isiaka.
…We are watching, ensure transparency — Organised Labour
Meanwhile, the Organised Labout demanded nothing but transparency in the disbursement of the cash transfer, charging the government to ensure credibility in the process.
The Trade Union Congress (TUC) demanded that the Government must run an open system in the process, where transparency would be upheld and beneficiaries would be selected to benefit by merit with fair distribution across Wards and Local Government Areas in the Country.
“We demand transparency in the disbursement of the funds. What are the BVN numbers of the recipients? They should display their names per units, wards and local government,” President of TUC, Festus Osita, told NewsDirect in a private chat.
Osita urged the Federal Government to fast track the implementation of the MoU signed with the Organised Labour on 2nd October 2023, stating his union would keep a close watch on the government
“We will only urge government at this time to fast track its implementation as we monitor closely,” he said.
Recall that Labour had scheduled Tuesday, October 3, to commence an indefinite nationwide strike, after warning strikes to protest what it described as anti-people policy, particularly the removal of petrol subsidy, did not yield the desired result. However, a meeting on Monday 2nd October with the Federal Government recorded a MoU which informed the suspension of the strike.
Following the MoU signed on October 2, Labour suspended its plan for 30 days, promising to revisit it if the FG fails to implement the immediate parts of the agreement within 30 days.
…LP kicks against car procurement for Lawmakers, says APC govt insensitive
Meanwhile as Labour presses its demands for palliatives for the masses, outcry over proposed procurement of cars costing N160 million each for the members of the House of Representatives has grown.
The Labour Party has condemned the disclosure, saying the government of the All Progressives Congress (APC) is not sensitive to the plight of Nigerians.
The LP said the administration of President Tinubu is displaying extravagance at a time when the Nigerian people are grappling with hardship resulting from its economic policies, which have shot up food inflation.
In a statement signed by its National Chairman, Julius Abure, the opposition party criticised the government for struggling to increase the minimum wage of Nigerians but could fund opulent spending of its officials.
“A few days ago, the news filtered that 360 members of the House of Assembly are to be gifted with vehicles worth about N160 million each. The Labour Party is indeed shocked, saddened and disappointed at the level of insensitivity being displayed by the executive and the legislative arms of the President Bola Tinubu-led All Progressives Congress administration.
“It is saddening that with deepening poverty among Nigerians the administration has decided to increase its appetite for a life of opulence to mock hardworking but underprivileged Nigerians.
“How else can any Government justify the bloated Federal Executive Council of 48 cabinet ministers, with each of them given three luxurious four-wheel drive vehicles on the first day in office, paid for and fueled by taxpayers?
“This is notwithstanding hundreds of presidential and ministerial aides, as well as numerous aides to the aides which are being funded by the government.
“These vehicles will be costing Nigerians about N57.6 billion and this is happening at a time when government claims it cannot afford to increase the minimum wage of N30,000 monthly to workers.
“A bag of 50kg rice is today N50,000 and most families can’t afford two square meals a day, how insensitive can a Government become? This same government is still going around the world cap in hand seeking for loan, what a shame!
“As things stand today, inflation is likely to hit 30 per cent by December 2023, yet all they are concerned about is the comfort of a privileged few who found themselves in public office.
“Why spend so much money on the import of and purchase of vehicles from other nations amidst the scarcity of needed foreign exchange for manufacturing? Why not empower local manufacturers such as Innoson Motors in Anambra and Peugeot Automobiles in Kaduna to save forex and boost our local economy?
“When our Presidential Candidate, Mr. Peter Obi, said we in the Labour Party want to move the economy from consumption to production, this is what we mean – Nigeria first!
“We implore this government to in the interest of our dear nation retrace its steps and give priority to revamping the economy instead of its current obsession with luxury living.
“We are also calling on the Labour Party legislators in the 10th Assembly to kick against this unnecessary wastage of resources in line with,” the party said.
…Unfortunate, Tinubu following Buhari’s failed economic policies — PDP Chieftain
Speaking with NewsDirect on the conditional cash transfer scheme, the former Zonal Publicity Secretary of Peoples Democratic Party (PDP), South-West, Mr. Ayo Fadaka, said it is unfortunate seeing President Tinubu copying the failed economic policy style of his predecessor, Mohammadu Buhari.
He added that the scheme is going to fail as usual as it is another attempt to embezzle public funds.
“It is unfortunate that Nigeria State continues to pursue selective wholesales bribery of Nigerians. This latest move to conditionally transfer N25,000 Naira to the so called 15 million Nigerian homes is going to be bogus as the other palliative measures they say they are prosecuting.
“The experience of Nigerians as far as palliative things is concerned is that we have seen street of over a thousand homes being given a bag of rice to share and I don’t know how that can go round. At best, every home will have a spoon of rice to go and cook.
“This so-called transfer of N25,000 Naira to 15 million homes is indeed another clever attempt to steal money and put it in some selected pockets. I understand that the money sourced to pay for this new scheme is even a loan taken from somewhere, thereby compounding the debt profile of the nation.
“It is time we had a thinking government, a government that can evolve policies that will attack the very base of the economic problems that we are having in this country, and begin to search for ways whereby our people begin to see prosperity in their lives. It is sad that a government headed by a certified accountant continues to apply the style of and techniques of a government that was once headed by a retired Army General that could not produce his school certificate results.
“If our President feels that he has nothing to offer this nation, it is best that he throws in the towel because the results of his failure will certainly spell collateral damage on Nigeria,” he said.
Asked whether the conditional cash transfer will go a long way in ameliorating the current hardship bedeviling majority of the citizens due to fuel subsidy removal, he said, “It is not going to be a continuous scheme. The important thing that they should do is to invest money in the economy to the extent that such an investment will generate labour and people employed from such will have work to do for years to come, rather than transferring this money for a few number of months and not to particular people but to random people.
“So, it will certainly be of no effect whatsoever. And that is also knowing very clearly that a large percentage of the said money will end up in the pocket of some officials.”
The PDP Chieftain added that lack of good database has made it difficult if not impossible for Nigerian Government to carry out such scheme effectively and some greedy politicians keep taking advantage of that.
“Fact remains that Nigeria is a nation where data is scanty. The government cannot wake up and say they have data for people they want to send this money to. What they will do eventually is that they will ask some people to bring five, five names each from their constituency and they will generate that kind of list.
“Most people that they will ask to bring name will supply names that may just be many versions of their own names. You can’t say there is going to be honesty in the process. If indeed there is indeed money to transfer as they claim, they should rather use that money to create labour and employ people,” Fadaka said.
