The Nigerian Presidency has clarified that the recent decision to allow the National Petroleum Corporation (NNPC) to sell petrol at cost price is a discount aimed at cushioning price shocks, rather than a reinstatement of the country's fuel subsidy.
Under the new measure, the NNPC will be permitted to sell gasoline at its cost price, a move that the Presidency says is designed to mitigate the impact of volatile global oil markets on consumers.
Officials stressed that this discount is a temporary relief mechanism and does not constitute a return to the long‑standing fuel subsidy policy that has been a feature of Nigeria’s energy sector for decades.
While the measure is intended to help stabilize domestic fuel prices, it is part of a broader strategy to manage price volatility without re‑introducing the subsidy, which has historically been a significant burden on the national budget.
The announcement comes as the government continues to seek ways to protect consumers from sharp fluctuations in oil prices while maintaining fiscal prudence.
<small>Source: Punch Nigeria — read the original story there.</small>
