The Federal Government states it is offering a discount on petrol supplied by the Nigerian National Petroleum Company Limited (NNPCL) for the next 30 days.
The Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, announced this on Thursday during a press briefing on fuel prices and subsidy issues in Abuja. He explained that the 30-day period is a first phase, prioritising public transporters nationwide.
Oyedele emphasised that this measure does not reinstate the petrol subsidy. He clarified that the arrangement involves the government selling petrol at cost.
He described it as a temporary margin discount rather than a return to the fuel subsidy regime, which ended on 29 May 2023.
Oyedele further indicated that the government is negotiating a ceiling of ₦1,350 per litre on the ex-gantry (landing) cost of petrol. This ceiling would be reviewed monthly, with figures published for transparency. Its purpose is to prevent sudden fluctuations in petrol costs and to provide more stability to pump prices.
He added that the government is investing in a national strategic fuel reserve. Refined products would be released into the market according to published rules whenever global distribution issues or hoarding threaten supply and price stability.
This announcement comes as petrol prices have averaged about ₦1,400 per litre, following a significant rise in international crude oil prices.
Oyedele noted that petrol was approximately ₦830 per litre before the conflict that caused crude prices to surge. He mentioned that further measures are necessary, as current steps have not fully alleviated the pressure on households and businesses.
He also said that the government has granted a full waiver on taxes and duties applicable to petrol, amounting to over ₦3.3 trillion for the year ending 30 September 2026.
NNPC Retail already sells petrol at the lowest market price. Oyedele expressed hope that other marketers would follow suit, considering that the sharp increase in crude and petrol prices is not expected to persist for long.
According to NNPC’s latest price list, petrol is priced at ₦1,355 per litre in Lagos and Rivers, and ₦1,370 per litre in Abuja.
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