The Nigeria Employers’ Consultative Association (NECA) has called on state and local governments to publicly account for the ₦10.4 trillion they received from resources generated following the removal of the petrol subsidy.
The Director-General of NECA, Adewale-Smatt Oyerinde, made the call during an interview on Channels Television’s Sunrise Daily on Thursday.
His comments followed revelations by the Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, that the removal of the petrol subsidy mobilised ₦15.8 trillion in resources for the Federation between June 2023 and December 2025.
According to Oyedele, the Federal Government received ₦5.4 trillion, while ₦10.4 trillion was distributed to state and local governments through the Federation Account.
Oyerinde said the disclosure by the finance minister should prompt state governments, particularly commissioners for finance, to provide details of how the funds allocated to their states had been utilised.
He argued that governments should adopt a level of financial transparency similar to what is expected of private businesses.
The NECA boss said state governments should disclose how much they received, the challenges they encountered and how the funds were spent.
He maintained that such disclosures would allow citizens to better understand the financial position of their governments and assess the impact of public spending.
According to Oyerinde, the disclosure by the Federal Government had created an opportunity for state and local governments to provide their own financial scorecards.
He said citizens should be able to engage governments constructively on how public resources are being managed, particularly at the state and local government levels where development initiatives directly affect communities.
Oyedele Reveals ₦15.8tn Subsidy Savings
Oyedele had disclosed that the removal of the petrol subsidy mobilised ₦15.8 trillion in resources for the Federation between June 2023 and December 2025.
The minister clarified that the amount was not recorded as a separate credit to the Federation Account under a specific “subsidy savings” line.
Rather, the savings were reflected in the resources available to the three tiers of government through the Federation Account.
Of the ₦15.8 trillion, the Federal Government received ₦5.4 trillion, while ₦10.4 trillion was shared among state and local governments.
The figures have renewed discussions around how the financial benefits of the subsidy removal have been distributed and utilised across the country.
Oyerinde commended the Federal Government for publicly providing details of its finances through the finance minister.
He described the disclosure as a step towards greater transparency and accountability in public finance.
The NECA director-general said providing more detailed information would allow citizens, businesses and other stakeholders to scrutinise government spending and engage public officials more effectively.
He also stressed that states and local governments should follow the example by publishing information on their receipts and expenditure.
For NECA, greater transparency would help Nigerians determine whether the additional resources made available following the subsidy removal are translating into meaningful development.
Beyond subsidy savings, Oyedele said the Federal Government generated ₦3.1 trillion in additional independent revenue between June 2023 and December 2025.
The minister attributed the additional revenue largely to remittances from government-owned entities and increased surpluses from government agencies.
The Federal Government also borrowed ₦11.9 trillion during the period.
When the additional revenue and borrowing were combined, the government’s incremental resources stood at ₦20.4 trillion.
However, Oyedele said incremental expenditure during the same period reached ₦30.64 trillion.
The figures provide further context to the Federal Government’s fiscal position since the implementation of major economic reforms by the President Bola Tinubu administration.
President Bola Tinubu announced the removal of the petrol subsidy during his inauguration on May 29, 2023, declaring that “subsidy is gone.”
The policy immediately resulted in a significant increase in petrol prices and contributed to higher transportation, logistics and production costs.
The resulting rise in the cost of living placed additional pressure on households and businesses across the country.
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The Federal Government has continued to defend the subsidy removal as necessary to reduce pressure on public finances and redirect resources towards other areas of the economy.
The government has also introduced several measures intended to cushion the impact of the reform, including wage adjustments, agricultural support programmes and initiatives aimed at expanding the use of Compressed Natural Gas.
With the Federal Government now providing figures on the resources generated and distributed following the subsidy removal, NECA believes state and local governments should provide similar details.
The association wants states to disclose the amounts received through the Federation Account and explain how the funds were allocated across different sectors.
Such disclosures could give citizens greater insight into how additional public resources have been used since the subsidy reform began.
For NECA, accountability should not stop at the Federal Government level but should extend to all tiers of government.
The association said greater transparency would strengthen public confidence and enable citizens to engage governments more effectively on issues of development and public spending.
The call comes as Nigeria continues to grapple with the economic consequences of subsidy removal, rising living costs and the broader reforms introduced by the Tinubu administration.
