The Federal Government has announced a comprehensive 10-point intervention package aimed at mitigating the impact of soaring petrol prices on Nigerian households, transport operators, and businesses.
The policy blueprint was presented on Thursday, October 8, 2026, at 2:00 PM during a joint ministerial press briefing held at the Press Gallery of the Federal Ministry of Finance in Abuja.
Addressing journalists, the Minister of Finance and Coordinating Minister of the Economy, Mr. Taiwo Oyedele, stated that the interventions are designed to insulate citizens from global price shocks without reintroducing a blanket fuel subsidy.
Addressing the underlying causes, Oyedele cited international market volatility and crude oil supply dislocations resulting from the ongoing Gulf conflict as major factors driving pump prices above ₦1,400 per litre.
“To be perfectly clear, none of these measures restores a blanket subsidy. To do so would amount to creating longer-term harm for a short-term cure,” Oyedele stated. “Each measure is designed to reach the people who need help, without putting the wider economy at risk.”
The 10 Cushioning Measures to assist Nigerian households include;
30-Day NNPC Petrol Discount: The Nigerian National Petroleum Company Limited (NNPCL) will offer a margin discount on petrol for 30 days, prioritising public transport operators to curb fare spikes.
Forward Sales of Crude to Local Refineries: Increased allocation of domestic crude oil to local refiners under forward sales arrangements to stabilise local refined product supply.
₦1,350/Litre Landing Cost Ceiling: Negotiation of a targeted ₦1,350 per litre ceiling on the ex-gantry/landing cost of petrol, subject to monthly reviews and public reporting.
Elimination of Illegal Road Levies: Direct collaboration with state governments under the 2025 tax reform frameworks to dismantle unauthorized road taxes that inflate freight costs.
Expanded Direct Cash Transfers: Immediate expansion of direct cash transfers to vulnerable households and provision of subsidised credit facilities for small businesses.
Accelerated CNG Rollout: Accelerated deployment of Compressed Natural Gas (CNG) conversion infrastructure and fleet expansion across all states.
Excess Profit Tax: Proposal of a windfall profit tax on energy sector operators taking undue advantage of market volatility, with revenue directed toward transport vouchers for minimum-wage earners.
Reduction of Regulatory Red Tape: Streamlining regulatory fees and operational bottlenecks within the midstream and downstream sectors to lower overall business operating costs.
Establishment of a National Strategic Fuel Reserve: Capital investment into a national strategic stock to absorb global supply shocks and prevent artificial market scarcity.
Enhanced Logistics & Traffic Management: Deployment of improved urban traffic management strategies and integration of NIPOST’s digital address code system to optimize delivery routes and lower fuel burn.
The government confirmed that execution of immediate components, such as the NNPCL margin discount and cash transfer expansions commences with immediate effect, while legislative items will be presented to the National Assembly shortly.
