FRESH: Tinubu-Led Government Defends Price Of Petrol In Nigeria

FRESH: Tinubu-Led Government Defends Price Of Petrol In Nigeria

The Federal Government has attributed the current petrol price in Nigeria to the economic reforms introduced by President Bola Tinubu, stating that the cost of the product remains significantly lower than the global average.

The Executive Chairman of the Nigeria Revenue Service, Zacch Adedeji, made this known on Tuesday during the commissioning of the agency’s headquarters in Abuja.

Adedeji said that despite public complaints about the pump price of petrol, comparative global data show that Nigerians still pay less for the product than in many other countries.

“People complain that the pump price is expensive, but as a data-driven student of economics, I brought the facts,” he said.

According to him, the average price of petrol in Nigeria is about $0.88 per litre.

“The price of petrol in Nigeria is approximately $0.88 per litre. In the United States, it is $1.70 (22 per cent higher); in India, it is 25 per cent higher; and in South Africa, it is 35 per cent higher. Globally, our prices are 50 per cent lower because you allowed local refineries to work,” Adedeji added.

President Tinubu had, upon assumption of office, announced the removal of petrol subsidy, a policy that led to a sharp increase in fuel prices from below N200 per litre to nearly ₦1,000.

However, the price later climbed above ₦1,200 per litre in some locations following tensions in the Middle East and global supply pressures.

Despite the increases, Adedeji maintained that the reforms helped stabilise fuel supply in the country.

The NRS chairman also expressed confidence that the full operation of the Dangote Refinery would guarantee Nigeria’s energy security.

He stated, “Mr President, if those difficult decisions hadn’t been made, petrol supply security would be non-existent.

“We would be facing massive queues, and fuel would be both expensive and unavailable. Today, supply is stable because it is easier to wait for deliveries from Lekki than to wait for imports from Europe.”

Adedeji further commended the Federal Government’s Naira-for-Crude policy, noting that it had repositioned Nigeria’s petroleum sector.

“I have studied political philosophy and economic history, and I know of no other instance where a nation sold its primary resource in its own local currency rather than a foreign reserve currency,” he said.

Recalling how the policy was initiated, he added, “I remember vividly that Sunday when you called me and said, ‘Zacch, get your pen; I want to sell crude in Naira.’

“I replied, ‘Mr President, crude is always benchmarked in dollars.’ You insisted, ‘Go and do this.’ You made the impossible possible.”

According to him, the initiative has helped Nigeria move from being a net importer to a net exporter of petroleum products.

“Because of that vision, we have no queues today. We have moved from being a net importer to a net exporter, with reports showing Aliko supplying 17 cargoes to other African countries,” he said.