NNPC's Discounted Petrol Sales Clarified as No Subsidy Return

The Presidency of Nigeria has clarified that the Nigerian National Petroleum Company Limited (NNPC) selling petrol at a discounted rate does not signify a return to the fuel subsidy regime. Bayo Onanuga, Special Adviser to the President on Information & Strategy, stated that the NNPC's decision to forgo its retail profit margin is intended to help vulnerable households cope with global crude oil price shocks.

The NNPC will offer this discount within the next 30 days, selling fuel at cost, particularly to commercial vehicles. This initiative, supported by President Bola Ahmed Tinubu, is part of broader measures announced by Finance Minister Taiwo Oyedele to stabilize pump prices amid rising crude costs.

Oyedele emphasized that this discount should not be misinterpreted as a restoration of the subsidy, which ended on May 29, 2023. The government is committed to ensuring that reforms benefit Nigerians without risking the economy, while also working on fiscal measures to reduce inflation sustainably.