Subsidy Savings: Account for ₦10.4tn received, NECA tells states, LGs

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By Olayinka Ajayi

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The Nigeria Employers’ Consultative Association (NECA) has urged state and local governments to account for the ₦10.4 trillion shared among them from savings generated by the removal of the petrol subsidy.

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Director-General of NECA, Adewale-Smatt Oyerinde, made the call in an interview on Channels Television’s Sunrise Daily on Thursday.

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He was reacting to the disclosure by the Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, that the removal of the petrol subsidy generated ₦15.8 trillion for the Federation between June 2023 and December 2025.

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Oyedele had disclosed on Wednesday that the Federal Government received ₦5.4 trillion of the amount, while ₦10.4 trillion was distributed to state and local governments through the Federation Account.

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Oyerinde said the disclosure had created an obligation for state governments, particularly commissioners for finance, to publicly account for how the funds received were utilised.

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“Absolutely. I think it should trickle down. The commissioners of finance in states, you come out and also say, this is how much we’ve received; this is how much we have spent,” he said.

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The NECA boss likened the demand for accountability to the financial reporting obligations of private businesses, noting that companies routinely audit their accounts and present performance reports to shareholders.

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“We believe strongly that as private businesses, at the end of the year you audit your accounts, you present your scorecard to your shareholders to gauge what we have done.

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“The Minister of Finance has led the way now, and the states also should follow,” he said.

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