Atiku Abubakar Questions NNPC’s Approach to Petrol Discount Funding

Former Vice President Alhaji Atiku Abubakar has raised concerns about how NNPC Limited will fund its recently announced petrol discount for a 30-day period. His comments came through Phrank Shaibu, who is the Director of Strategic Communication for the African Democratic Congress (ADC) Presidential Campaign Council.

Atiku is asking for more information about the approval process for this discount and how it will be reflected in NNPC’s financial records. NNPC Limited was created under the Petroleum Industry Act to operate as a commercial entity, which raises questions about whether the discount was approved through the proper corporate procedures and if it respects the rights of shareholders.

The statement from Atiku’s camp pointed out that while government officials often cite market forces when discussing petrol prices, the recent announcement of relief through NNPC’s margin has left many Nigerians confused about how this will be funded. It also highlighted that NNPC Retail operates just over 900 petrol stations for a population of about 242 million, leading to concerns about accessibility for motorists.

Atiku’s statement questioned how drivers far from NNPC stations would benefit from the discount, what would happen if a station ran out of fuel, and how much of the ₦66 savings would be lost due to travel costs and time spent waiting in line. He also asked whether the NNPC board had approved this decision prior to the announcement and what financial figures were considered.

Furthermore, the statement emphasized that the current administration has claimed this measure is not a subsidy, but Atiku argues that the costs will still exist regardless of how they are labeled. He previously suggested implementing a transparent production subsidy to provide affordable fuel nationwide, rather than temporary relief at a limited number of stations.