The Federal Government has announced a 30-day petrol discount at filling stations operated by the Nigerian National Petroleum Company Limited (NNPC), with public transport operators to receive priority under the arrangement.
The Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, announced the initiative on Thursday during a press briefing in Abuja, explaining that the arrangement would initially run for 30 days.
According to the minister, the initiative is not a return to the petrol subsidy regime but an arrangement to sell petrol at cost through NNPC stations.
Public Transporters To Get Priority
Oyedele said the government was prioritising public transport operators nationwide as part of efforts to ease the burden of rising fuel costs on Nigerians.
“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,” he said.
“So, it’s not a subsidy, government is just saying we sell to you at cost.”
The announcement comes amid growing concerns over the impact of high petrol prices on transportation costs, household spending and the cost of goods and services.
FG Insists Arrangement Is Not A Subsidy
The minister maintained that the initiative should not be interpreted as a reinstatement of petrol subsidy, which the Federal Government removed in 2023.
Instead, he described the arrangement as an intervention under which petrol would be sold at cost through NNPC stations for the specified period.
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However, the government has yet to publicly specify the amount of the discount per litre, the precise pump prices under the arrangement or the detailed conditions for accessing the offer.
Government Considers Further Measures On Fuel Prices
The petrol discount announcement forms part of wider discussions by the Federal Government on how to reduce the effects of rising fuel prices on Nigerians.
During the same briefing, Oyedele also discussed plans to negotiate a ceiling of ₦1,350 per litre on the ex-gantry cost of petrol, with the proposed arrangement designed to reduce sharp fluctuations in pump prices.
Under the proposal, the government would negotiate with refiners and importers to moderate changes in the cost of petrol linked to international crude oil prices and exchange rates. The arrangement is distinct from the 30-day discount announced for NNPC stations.
Nigerians Await Details Of Discount
Although the government has announced the 30-day initiative, motorists and transport operators are awaiting further details on how the discount will be implemented and how much consumers could save.
The priority given to public transporters could help reduce operating expenses for commercial transport businesses, potentially easing pressure on fares if the savings are passed on to passengers.
The extent of the impact, however, will depend on the discount amount, implementation arrangements and whether the benefits translate into lower transportation costs.
The Federal Government has not yet provided a specific date for the end of the arrangement beyond stating that it will run for 30 days in the first instance.
