The African Democratic Congress (ADC) has firmly rejected the Presidency’s claim that former Vice President Atiku Abubakar’s proposal to reduce petrol prices to about N600 per litre is a return to Nigeria’s discredited fuel subsidy regime. The party insists the plan is not a revival of past policies but a modern, controlled production incentive aimed at boosting domestic refining capacity and lowering fuel costs for Nigerians. ADC’s National Publicity Secretary, Bolaji Abdullahi, responded directly to the Presidency’s criticism, highlighting what he called a flawed assessment based on an unverified figure of N19.1 trillion.
Abdullahi stated that the Presidency’s argument fails to account for how Atiku’s proposal is structured or the broader economic benefits it promises. “We are at a loss how the presidency conjured up this phantom figure. But we do not agree with it,” he said. He emphasized that the proposal includes fiscal limits and monitoring mechanisms to track crude oil from refinery intake to finished petroleum products, ensuring transparency and accountability.
The ADC argues that the Presidency is conflating Atiku’s controlled subsidy plan with the old, unregulated subsidy system that led to massive financial losses. Instead, the new approach seeks to incentivize local refineries to produce more affordable fuel while reducing dependence on imported petroleum products. This, the party believes, will save foreign exchange and support long-term energy self-sufficiency.
The party also questioned why the government supports incentives for offshore oil producers—up to $11.50 per barrel—while dismissing similar measures for domestic refineries. “If Nigeria can provide a production-linked fiscal incentive of up to $11.50 per barrel to stimulate offshore oil production, why is a carefully controlled crude-input incentive for domestic refineries dismissed as economic madness?” Abdullahi asked.
The ADC pointed out that high petrol prices have driven up transportation, food, and production costs, worsening the cost-of-living crisis across Nigeria. By making fuel cheaper through locally produced refined petroleum, the proposal could ease pressure on households and businesses alike. The party maintains that its plan would be capped, audited, and traceable, ensuring responsible use of public resources.
As debates over Nigeria’s energy policy continue, the ADC’s stance underscores growing calls for innovative solutions to address fuel affordability and domestic refining challenges. The coming months may see further discussions on whether such controlled incentives can become part of a sustainable national strategy.
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