NNPCL's Petrol Discount Explained by Finance Minister

Mr. Taiwo Oyedele, the Minister of Finance and Coordinating Minister of the Economy, clarified that the discount on petroleum motor spirit (PMS) introduced by the Nigerian National Petroleum Company Limited (NNPCL) is a commercial decision, not a subsidy. In a statement from the Ministry of Finance, Oyedele explained that since October 1, 2026, motorists have been paying less for petrol at NNPC Retail Limited stations due to a reduction in the company's retail profit margin.

He emphasized that this discount does not involve public funds and is a voluntary decision by the retailer to lower prices for consumers. Oyedele differentiated this discount from a subsidy, which involves government funding to cover part of the consumer price.

He reiterated that the current administration ended the subsidy regime in 2023 and is committed to maintaining this stance. The discount is absorbed by NNPCL's retail margin while still reflecting market conditions in the pump price.