Minimum Wage: Let’s Pay According To Our Ability – Southern Governors

Governors from the southern part of Nigeria under the aegis of the Southern Governors’ Forum, have called for the consideration of the cost of living and ability of each state to pay the new minimum wage just as they advocated that each State be allowed to negotiate the new wage with the labour unions.

This was contained in a Communique issued at the end of their meeting held on Monday, June 25, 2024, in Abeokuta, the Ogun State capital.

In their 16 points Communique, the Forum called for strengthening of fiscal federalism and devolution of powers and expressed concern over current practices where mineral licenses are issued and explorations undertaken without recourse to State governments.

It noted that issuing mineral licenses without carrying the states along have resulted in criminal activities, attendant negative environmental impact, ecological degradation, and with no remediation commitment or revenue accruing to the States or the Federal Government.

The governors maintained that being the economic and industrial region of the country, there was need to address the inadequate power supply in the region by taking advantage of the recent constitutional amendment that now allows States to regulate, generate, transmit and distribute electricity whilst also considering optional sources like renewables.

The southern governors said they have resolved to aggressively embark on energy transition plan from fossil fuels (petrol and diesel) to cleaner energy and specifically CNG (Compressed Natural Gas) and ultimately EV’s (Electric Vehicles) to help reduce the cost of transportation, which would lower the cost of food, goods and services of the citizens and residents.

The meeting also called on the Federal Government to rehabilitate, repair and reconstruct Trunk A roads and transfer some roads to States that have expressed interest in taking them over, applauding President Tinubu for conceptualizing and commencing the construction of the Lagos-Calabar Coastal Road, which cuts across eight states of the region.

The Communique hinted that the governors have resolved to commission a regional multimodal transport master plan that would prioritise connectivity of rail, road, air and water transportation, to facilitate interstate, intra-regional movement of persons, goods and services and thereby enhancing the ease of doing business.

It further stated that Southern States Development Agenda (SSDA), would comprise of a team whose primary responsibility is to outline a holistic plan to foster trade and investment, sustainable growth and development, economic prosperity, social harmony and food security for the region would be set up.

The Development Agenda, the governors added would work hand in glove with individual State Investment Promotion and Facilitation Agencies, the Nigeria Investment Promotion Commission (NIPC) and other relevant MDA’s and multilateral agencies as necessary.

On issue of state police, the Governors resolved to continue to advocate for the creation of State police against the backdrop of the success of the regional community based security outfits, which have been effective in intelligence gathering.

The governors, the communique further stated, resolved to remain united and committed to oneness of purpose, noting that the physical boundaries that divide the people of the south could not be compare to the strong bonds of enterprise, resilience and culture that they share just as they have resolved to be deliberate and intentional about intra region trade, partnerships and investment facilitation and promotion which was agreed would require a structured and coordinated collaborative approach.

The members of the Forum commended Mr President Tinubu for the food palliative support to States and the laudable economic recovery reforms and policies through the implementation of the Renewed Hope Agenda pledging to support him in his unwavering resolve to reposition the country and build a greater future for all.

It would be recalled that at the end of the meeting, Prince Dapo Abiodun was chosen to provide the needed leadership as Chairman of the Forum, while Professor Charles Chukwuma Soludo, the governor of Anambra State waa appointed as the Vice Chairman.The communique concluded that quarterly meetings of the Forum would be held and rotated among member states.

The Communique reads:

At the conclusion of the Southern Governors Forum meeting held on Monday, June 24, 2024, and having paid respects to our immediate past Chairman, HE, the late Governor Oluwarotimi Akeredolu; with condolences extended to his family, and appreciating the past Chairman for the solid foundation he laid by putting the forum in good stead; we the Governors resolved as follows:

1. Thanked and appreciated all member Governors for their support and commitment to the “Asaba declaration” of 2021, which was a resolve to ensure that Southern Nigeria produced the 2023 Presidential Candidate; we also thanked the Northern Governors’ Forum for their unwavering support for the resolution.

2. The Forum commended the laudable economic recovery reforms and policies of HE President Bola Ahmed Tinubu GCFR and the implementation of the Renewed Hope Agenda; and unanimously committed to supporting him in his unwavering resolve to reposition the country and build a greater future for us all.

3. The Southern Governors applauded the President for conceptualizing and commencing the construction of the Lagos-Calabar Coastal Road, which cuts across eight (8) states. We noted that this will create employment in the construction industry, boost productivity by drastically reducing travel time, promote tourism, and open up and integrate all the Southern States to increased trade and investment opportunities whilst enhancing the ease of doing business.

4. The Southern Governors advocated that the Federal Government should rehabilitate, repair and reconstruct Trunk A roads and transfer roads to States that have expressed interest in taking them over.

5. The Forum will commission a regional multimodal transport master plan that will prioritise connectivity of rail, road, air and water transportation, to facilitate interstate, intra-regional movement of persons, goods and services and thereby enhancing the ease of doing business .

6. Being the economic and industrial region of the country, the Forum highlighted the need to address the inadequate power supply in the region. Member states were encouraged to take advantage of the recent constitutional amendment that now allows States to regulate, generate, transmit and distribute electricity whilst also considering optional sources like renewables.

7. The Forum resolved further to aggressively embark on energy transition plan from fossil fuels (petrol and diesel) to cleaner energy and specifically CNG (Compressed Natural Gas) and ultimately EV’s (Electric Vehicles) to help reduce the cost of transportation, which will lower the cost of food, goods and services for our citizens and residents.

8. The members of the Forum commended Mr President on the food palliative support to States, and the Governors were also commended for complementing Mr President in their various States through numerous initiatives ranging from food palliatives to transport allowances. We resolved to be more aggressive and intentional about food security and member States were enjoined to intensify their agricultural resurgence/revolution initiatives utilising cash and food crops best suited for each region to ensure food sufficiency, self-reliance and employment generation. States should also consider setting up special agro processing zones to obtain the most value from the agro value chain.

9. The Forum discussed the minimum wage issues demanded by labour and unanimously agreed that the minimum wage should be reflective of the cost of living and ability to pay, and each State be allowed to negotiate their minimum wage. This led to the forum’s call for strengthening fiscal federalism and devolution of powers.

10. The Governors resolved to continue to advocate for the creation of State police against the backdrop of the success of our regional community based security outfits, which have been effective in intelligence gathering. This will truly enable Governors to be the Chief Security Officers of their respective States in deed.

11. Still on fiscal federalism, the Forum discussed the issue of solid mineral exploration and exploitation which remains on the Exclusive List in the constitution. Members expressed concern over current practices where mineral licenses are issued and exploitations undertaken without recourse to State governments. These have resulted in criminal activities, attendant negative environmental impact, ecological degradation and with no remediation commitment or revenue accruing to the States or Federal Government.

12. The Forum expressed concern over the controversy of the Local Governments Chairmen tenure in Rivers State and committed to take a common stand in support of position of the law and constitution.

13. The Forum members resolved to remain united and committed to oneness of purpose, noting that the physical boundaries that divide us do not compare to the strong bonds of enterprise, resilience and culture that we share and unite us. Member States resolved to be deliberate and intentional about intra region trade, partnerships and investment facilitation and promotion which was agreed will require a structured and coordinated collaborative approach.

14. The Southern States Development Agenda (SSDA) will be set up and will comprise of a team whose primary responsibility is to outline a holistic plan to foster trade and investment, sustainable growth and development, economic prosperity, social harmony and food security for our region. They will work hand in glove with individual State Investment Promotion and Facilitation Agencies, the Nigeria Investment Promotion Commission (NIPC) and other relevant MDA’s and multilateral agencies as necessary.

15. The Forum unanimously chose HE, Prince Dapo Abiodun CON, to provide the needed leadership as Chairman of the Forum and appointed HE Professor Charles Chukwuma Soludo CFR as Vice Chairman and expressed their support for the newly appointed Chairman and Vice Chairman.

16. The Forum concluded that quarterly meetings will be held and rotated among member states.