Tinubu Administration Introduces New Petrol Subsidy Measures

The Presidency, through Special Adviser to the President on Information and Strategy, Bayo Onanuga, announced that the Tinubu administration will not reverse the petrol subsidy reform. Instead, it will introduce measures to ensure that benefits reach more Nigerians effectively.

NNPC Retail will begin a new pricing arrangement within 30 days, selling petrol at the lowest market price. The government will also implement forward sales of crude oil to domestic refineries, allowing refiners and importers to manage costs without breaching price ceilings.

Additional interventions include reducing transportation and logistics costs by collaborating with states and security agencies to control road taxes. The government plans to increase funding for cash transfers to vulnerable households and expand subsidized credit for small businesses.

An accelerated rollout of Compressed Natural Gas (CNG) is also expected, with the government anticipating lower transport fares. Furthermore, an excess profit tax on operators exploiting consumers is under consideration, with proceeds aimed at supporting low-income earners.