The Federal Government of Nigeria has clarified that it is not responsible for the recent surge in petrol prices, following an increase announced by the Nigerian National Petroleum Company Limited (NNPCL) on October 9. Fuel prices were adjusted to N1,030 per litre in Abuja, N998 in Lagos, and as high as N1,075 in the South-South region, sparking public outcry and calls for intervention by President Bola Tinubu.
Minister of Information and National Orientation, Mohammed Idris, explained in an interview with *Daily Trust* that the NNPCL’s price adjustments are driven by external factors in the global energy market, such as the ongoing Middle East crisis, which has led to volatility in petroleum prices. He emphasized that the NNPCL, as a limited liability company, can no longer bear the losses associated with absorbing price differentials, especially after the government’s removal of fuel subsidies in May 2023.
Idris also reiterated that, under the Petroleum Industry Act (PIA), the federal government no longer regulates fuel prices, and NNPCL’s decision was independent of any government directive. He assured Nigerians that fuel prices could decrease over time, as investments in alternative energy sources like compressed natural gas (CNG) would help stabilize the market.
The minister further highlighted the government’s plan to reinvest the funds saved from ending the subsidy regime into critical sectors such as healthcare, education, infrastructure, and security, urging citizens to remain patient as these measures are implemented.
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