President Muhammadu Buhari's cabinet is set for a reduction in the initial price of petrol after the removal of the subsidy.
Indications have emerged why the talks between the Nigerian government and the leaders of organised labour hit the rocks Monday night.
The federal government had announced the deregulation of the petroleum downstream, a development that has jerked up the price of Premium Motor Spirit, otherwise known as petrol from N86 to N145 per litre.
Following the development, labour leaders threatened to embark on nationwide strike if the price was not reversed within 96 hours. In a bid to stop the strike action, the government called for a dialogue with the workforce Monday.
A competent insider hinted DAILY POST that the federal government during the meeting with the Ayuba Wabba-led NLC proposed N120 per litre but labour rejected, describing it as outrageous.
According to him, the presidency said the best they could do was to reduce the pump price by N25, in consideration of the outcries by Nigerians.
“That was why the meeting ended in deadlock. FG proposed N120 per litre but the NLC insisted of total reversal to the old price, which is N86 per litre.
“They were not ready to accept the outrageous proposal.
“The outcome of the meeting with the Joe Ajaero-led group would determine the next line of action,” the source who would not want his name mentioned said.
However, efforts to reach the NLC General Secretary, Peter Ozo-Esun for confirmation could not yield any fruit at the time of this report.