The Federal Government of Nigeria has introduced a 30-day discount on petrol sold by the Nigerian National Petroleum Company Limited. This initiative aims to provide relief to citizens by reducing fuel costs. Public transport operators will receive priority under the arrangement. The Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, made this announcement during a press briefing in Abuja on Thursday, October 8, 2026.
According to Oyedele, the discount is a margin reduction at NNPC stations and not a return to petrol subsidy. The government will sell petrol at cost to public transporters nationwide. This move is designed to cushion the impact of high fuel prices on the masses. Oyedele emphasized that the government is committed to finding solutions to mitigate the effects of rising fuel costs without reintroducing a blanket subsidy.
In addition to the discount, the government is negotiating a ceiling of N1,350 per litre on the ex-gantry or landing cost of petrol. This measure aims to reduce sharp fluctuations in pump prices. Refiners and importers will absorb any shortfall when costs rise above the ceiling and recover it when crude prices or the exchange rate become more favourable. The ceiling will be reviewed monthly and published for transparency.
The government is also exploring other measures to ease the impact of higher fuel prices. These include increased cash transfers to vulnerable households, subsidized credit for small businesses and consumers, and a faster rollout of compressed natural gas vehicles. The Minister stressed that these initiatives are designed to reach those who need help without putting the wider economy at risk.
Oyedele revealed that the Federal Government has granted a full waiver of taxes and duties on petrol, worth over N3.3 trillion for the year up to September 30, 2026. This move is part of the government's efforts to reduce the burden of high fuel prices on citizens. The waiver is expected to provide significant relief to consumers.
The Minister reiterated that the measures being introduced are not intended to restore a blanket fuel subsidy. He emphasized that such a move would create long-term harm for a short-term cure. Instead, the government is focusing on targeted interventions that address the needs of specific groups, such as public transport operators and vulnerable households.
Petrol prices at NNPC stations vary across the country, with the latest reported price list showing N1,355 per litre in Lagos and Rivers, and N1,370 per litre in Abuja. The government's new initiatives aim to bring down fuel costs and provide relief to citizens. The 30-day discount and other measures are expected to have a positive impact on the economy and citizens' livelihoods.
Key points
- The Federal Government has announced a 30-day discount on petrol sold by NNPC stations, prioritizing public transport operators.
- The government is negotiating a ceiling of N1,350 per litre on the ex-gantry or landing cost of petrol to reduce sharp fluctuations in pump prices.
- The government has granted a full waiver of taxes and duties on petrol, worth over N3.3 trillion for the year up to September 30, 2026.
