The All Progressives Congress Presidential Campaign Council (APC-PCC) has challenged African Democratic Congress (ADC) presidential candidate, Atiku Abubakar, to explain the details of his proposed fuel subsidy plan. In a statement on Sunday in Abuja, the council's spokesperson, Mr Dele Alake, said Atiku's proposal raised questions about how government support to domestic refiners would translate into lower petrol pump prices under the existing petroleum-sector framework. The APC-PCC sought clarification on the plan's legal, fiscal, and operational framework.
Atiku had renewed his advocacy for targeted support for locally refined petroleum products. The APC-PCC asked him to clarify whether refiners receiving the proposed subsidy would be required to sell petrol at government-prescribed prices and, if so, identify the legal framework for imposing such conditions. The council also asked Atiku to disclose the projected cost of the proposal, annual spending ceiling, volume of crude or petrol to be covered, and source of funding.
The APC-PCC further sought details of safeguards against diversion, smuggling, and fraudulent claims. According to the council, any proposal involving preferentially priced crude for domestic refineries could affect revenue accruing to the Federation and should therefore be transparently costed. The council also asked whether amendments to the Petroleum Industry Act (PIA) would be required to implement the proposed intervention.
The council cited Section 205(1) of the PIA, which provides for wholesale and retail prices of petroleum products to be determined under unrestricted free-market conditions. The APC-PCC questioned Atiku's latest position in relation to his previous advocacy for downstream deregulation and the removal of petrol subsidy. In 2022, Atiku had described the petrol subsidy system as fraudulent and pledged to complete its removal.
The APC-PCC asked Atiku to explain how the proposed intervention would differ from the former subsidy regime and how it would address concerns over abuses, smuggling, and fraudulent claims. Atiku's proposal had been presented as a targeted intervention to support domestic production rather than a return to the former import-subsidy system. The administration of President Bola Tinubu has focused on compressed natural gas (CNG) and electric mass transit as alternatives aimed at reducing transportation costs.
More than 120,000 vehicles have been converted to CNG, and the Federal Government is working with state governments and transport stakeholders to expand conversion capacity and supporting infrastructure. President Tinubu stated on Saturday that more Nigerians should begin to see measurable reductions in transportation costs from Oct. 1, while urging states to ensure that energy savings translated into lower fares.
The APC-PCC said any intervention in the downstream petroleum sector should be "lawful, transparent, properly costed and capable of delivering measurable benefits to consumers." The council urged Atiku to publish a detailed policy document alongside independent legal and fiscal analyses of his proposal. Nigerians need clarity on the implications, cost, and implementation framework of the proposed policy ahead of the 2027 presidential election.
Key points
- APC-PCC challenges Atiku to explain fuel subsidy plan
- Atiku's proposal raises questions about legal, fiscal, and operational framework
- Council seeks clarification on safeguards against diversion, smuggling, and fraudulent claims
