The Federal Government has announced a 30-day discount on petrol sold at Nigerian National Petroleum Company Limited (NNPC) filling stations nationwide, with public transport operators to receive priority.
Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, announced the measure at a press briefing in Abuja on Thursday while addressing the current rise in petrol prices.
Oyedele said the initiative was designed to cushion the impact of high fuel and transportation costs, stressing that it was not a subsidy.
“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,” he said.
The minister also announced a price modulation arrangement involving a ₦1,350 per litre ceiling on the ex-gantry or landing cost of petrol.
He explained that when the cost rises above the agreed ceiling, refineries and importers would initially absorb the difference and recover it later.
According to Oyedele, the arrangement is neither a subsidy nor a form of price control, but an effort to maintain stability in petrol prices.
The announcement comes amid petrol prices averaging around ₦1,400 per litre following the removal of fuel subsidy in 2023 and concerns over rising transportation and living costs.
Oyedele also disclosed that the Federal Government was investing in a national strategic fuel reserve.
He said refined petroleum products would be released into the market under clearly published guidelines whenever global supply disruptions or hoarding threatened fuel availability and price stability.
