Presidency Debunks Increase In Fuel Price, Says No Plan To Reintroduce Fuel Subsidy

The presidency has said that President Bola Tinubu-led government has no plan to reintroduce fuel subsidy.

Senior Special Assistant to the President on Media and Publicity, Tope Ajayi, said this while reacting to a report that the president was considering temporary subsidy on petrol as a result of rising crude oil prices and foreign exchange rates.

“There is no plan to reintroduce any form of fuel subsidy. There is no condition to support any increase in prices at this time.”

“President Tinubu is convinced based on information before him that we can maintain current pricing without reversing the current deregulation policy by swiftly cleaning up existing inefficiencies within the midstream and downstream Petroleum sector,” he wrote.

Earlier, Tinubu had assured Nigerians that there will be no increase in the pump price of petrol.

Speaking through Ajuri Ngeale, his spokesman, Tinubu told Nigerians that there won’t be any increment for now.

“This morning, I have the privilege of sitting down with his excellency president Bola Tinubu. As we discussed the current unfolding situation in the country as it relates to fuel supply and demand.

“The President wishes first to state that it is incumbent upon all stakeholders in the country to hold their peace. We have heard very recently from the organized labour movement in the country with respect to their most recent threat.

“We believe that the threat was premature and that there is a need on all sides to ensure that fact finding and diligence is done on what the current state of the downstream and midstream petroleum industry is before any threats or conclusions are arrived at or issued.

“Secondly, Mr. President, wishes to assure Nigerians following the announcement by the NNPC limited just yesterday that there will be no increase in the pump price of petroleum motor spirit anywhere in the country. We repeat, the president affirms that there will be no increase in the pump price of petroleum motor spirit.

“We also wish to affirm that the President is determined to maintain competitive tension within all sub sectors of the petroleum industry. He is determined to ensure that our policy drawn up as well as policy implemented follows the cue that there will not be any single one entity dominating the market.

“The market has been deregulated. It has been liberalized and we are moving forward in that direction without looking back.

“The President also wishes to affirm that there are presently inefficiencies within the midstream and downstream petroleum sub sectors that once very swiftly addressed and cleaned up will ensure that we can maintain prices where they are without having to resort to a reversal of this administration’s deregulation policy in the petroleum industry.”

Since 29 May when Tinubu was inaugurated as president during which he announced the removal of subsidy on petrol, the pump price has tripled: from about N200 to about N600.

This has led to increase in the prices of goods and services and has worsened the economic situation of millions of Nigerians.

Palliatives announced by the president to cushion the impact of the fuel subsidy removal have either not been implemented or their effects are yet to be felt by Nigerians.

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