The Federal Government has announced a 30-day discount on premium motor spirit (petrol) sold by the Nigerian National Petroleum Company (NNPC) Limited. The temporary intervention will prioritize public transport operators to cushion the harsh economic realities facing citizens.
The Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, disclosed this on Thursday during a press briefing in Abuja. He explained that the government is also negotiating a price ceiling of ₦1,350 per litre on the landing cost of petrol to curb extreme pump price fluctuations.
The Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, clarified that the measure is a margin discount and not a return to the fuel subsidy regime.
“We are offering a discount on petrol dispensed by NNPC Limited for the next 30 days in the first instance with priority for public transporters nationwide. So, it’s not a subsidy; the government is just saying we sell to you at cost,” Oyedele said.
Under the proposed framework, refiners and importers will absorb shortfalls when landing costs exceed the ₦1,350 ceiling. They are expected to recover their margins when global crude prices or exchange rates become more favourable, with all figures published monthly for transparency.
To further ease the economic burden, the government has implemented a full waiver of taxes and duties on petrol. According to Oyedele, this waiver is valued at over ₦3.3 trillion for the year up to September 30, 2026.
“To be perfectly clear, none of these measures restores a blanket subsidy. To do so would amount to creating longer term harm for a short-term cure. Each measure is designed to reach the people who need help, without putting the wider economy at risk,” he stated.
The federal government is also accelerating other palliative measures, including cash transfers to vulnerable households, subsidized credit for small businesses, and a faster rollout of compressed natural gas (CNG) vehicles.
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