NNPCL to Sell Petrol at Cost, Not Subsidy, Says FG

On October 8, 2026, the Federal Government of Nigeria announced that the Nigerian National Petroleum Company Limited (NNPCL) will forgo its retail profit margin on petrol, allowing it to sell fuel at cost to help households cope with global crude oil price shocks. This decision, supported by President Bola Tinubu, does not indicate a return to the petrol subsidy that ended on May 29, 2023.

Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, stated that NNPCL, which already offers the lowest petrol prices, will implement this new pricing structure within 30 days. The government is also negotiating a ceiling of N1,350 per litre on petrol's ex-gantry cost to stabilize pump prices.

Oyedele clarified that this initiative is neither a subsidy nor price control but aims to reduce price volatility. Additional measures include selling crude forward to domestic refineries and increasing funding for cash transfers to vulnerable households.