CPPE Urges FG to Avoid Petrol Subsidy Reinstatement

On 14 September 2026, the Centre for the Promotion of Private Enterprise (CPPE) released a policy brief titled “Petrol Subsidy: Preserving Reform Gains While Protecting Citizens,” warning against a return to the universal petrol subsidy regime. Dr Muda Yusuf, Chief Executive Officer of CPPE, stated that reinstating the old subsidy could result in an estimated annual subsidy bill of about N20 trillion.

The CPPE highlighted that rising petrol prices have significantly impacted households and businesses, increasing transportation and production costs while diminishing consumer purchasing power. The organization emphasized that the solution lies in targeted measures to support vulnerable Nigerians rather than reverting to the previous subsidy system, which was deemed unsustainable and detrimental to government finances and foreign exchange.

The CPPE also noted that the shift to market-based pricing has improved local refining prospects, which could lead to reduced dependence on imports and create job opportunities within Nigeria. It called for the government to ensure that increased revenues from subsidy removal translate into visible improvements in citizens' welfare.