By: Ogunleye Oluwapelumi
The National Economic Council has approved the payment of N702bn as cost of living allowance to civil servants as part of intervention plans to mitigate the effects of the discontinuance of petroleum subsidy. The announcement was made by the Governor of Bauchi State, Bala Mohammed, shortly after the inaugural National Economic Council meeting at the Aso Rock Presidential Villa on Thursday.
The intervention also includes a recommended sum ranging from N23.5bn to N45bn per month as a petroleum allowance for civil servants.
The move comes as a response to President Bola Tinubu’s directive to the governors to concretize various palliative structures to ease the attendant hardship from the petrol subsidy discontinuance.
The proposed cost of living allowance and petroleum allowance will go a long way in mitigating the effects of the subsidy removal. The government is also considering other ways to support civil servants during this period of discontinuance of petroleum subsidy.
The National Economic Council received recommendations on the various ways and means that the country can use whatever increases that we have in the revenue to mitigate the effects of the subsidy removal. The government is committed to ensuring that civil servants are not negatively affected by the discontinuance of the petroleum subsidy. The government will continue to explore other ways to support the citizens during this period of transition.