…as FG announces 30-day discount on petrol at NNPC stations
By Kehinde Jacobs
ABUJA — The Federal Government has announced that Nigerians will start buying petrol at lower prices at NNPC filling stations for the next 30 days.
The Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, made the disclosure at a press conference in Abuja on Thursday.
According to him, the discount is targeted at easing the burden of high transportation costs on Nigerians.
He said, “There’ll be a discount on NNPC petrol for the next 30 days, with priority for public transporters.”
Oyedele added that the Federal Government will also have a “negotiated landing cost which will be reviewed monthly.”
Speaking further on the issue of fuel subsidy and the sustainability of fuel pricing, the Minister explained that subsidy does not reduce the actual cost of fuel but only shifts how and when the payment is made.
“A subsidy does not lower the cost of fuel. It only changes how it is paid and when. Nigerians have paid that bill before in scarcity, in inflation, and in a collapsing currency. However, it is described, a subsidy must be financed through salaries and pensions not paid on time, through higher taxes, or through the printing of money like we saw before this current administration,” Oyedele stated.
He noted that the current administration is focused on ensuring that fuel pricing remains transparent and sustainable, rather than returning to the old subsidy regime that led to economic distortions.
The announcement comes amid public concerns over the high cost of Premium Motor Spirit, PMS, which has led to increased transport fares and high cost of food items across the country.
The Minister said the 30-day discount window is an intervention to provide immediate relief, especially for those in the public transportation sector, who directly affect the cost of movement of goods and people.
He stressed that priority will be given to public transporters at designated NNPC retail outlets to ensure that the benefit trickles down to ordinary Nigerians who rely on public transport daily.
Oyedele also hinted that the government is working with stakeholders in the downstream sector to stabilize supply and ensure availability of petrol at all NNPC stations nationwide during the discount period.
He assured Nigerians that the negotiated landing cost model will be reviewed on a monthly basis to reflect market realities while protecting consumers from sharp price fluctuations.
Industry analysts say the move could temporarily reduce transport costs if effectively implemented, but they caution that proper monitoring will be needed to ensure that only genuine public transporters benefit and that the product is not diverted.
As at the time of filing this report, the Nigerian National Petroleum Company Limited, NNPCL, was yet to release the new discounted price template for its retail stations.
Motorists and commercial drivers are expected to begin enjoying the discount as soon as implementation commences at NNPC filling stations across the country.
