President Bola Tinubu’s Special Adviser on Media and Public Communication, Sunday Dare, has faulted Atiku Abubakar’s proposal to subsidise crude oil for local refineries.
Dare said the proposal could put pressure on government revenue and disrupt the domestic petroleum market.
He expressed his concerns on Wednesday through a post on his X handle, following Atiku’s renewed promise to restore fuel subsidy if elected president in 2027.
Atiku, the African Democratic Congress presidential candidate, had reaffirmed his position on subsidy after distancing himself from remarks by his media aide, Paul Ibe, who had suggested that the policy would eventually be phased out as economic conditions improved.
“Earlier, one of my press aides contradicted me in a policy statement as far as subsidy is concerned.
“I want to repeat categorically that when I said I would return to subsidy, I will! Nigeria is rich enough to look after the welfare of its citizens. Let it be clearly stated that he was not speaking on my own authority,” Atiku said.
Ibe had earlier said Atiku’s plan would involve supplying crude to domestic refiners at a reduced price, with the aim of lowering production costs and providing temporary relief to consumers.
“The crude oil will be sold at a discounted price, subsidised to refiners, and that will enable refiners to be able to produce fuel and diesel at a cheap cost. And when they produce cheaply, they will sell at the real pump price,” the aide said.
Dare, however, argued that selling crude below its market value could reduce the revenue available to the Federation Account and ultimately affect allocations to the three tiers of government.
He also warned that preferential pricing could give certain refiners an advantage, hurt smaller indigenous modular refineries and undermine provisions of the Petroleum Industry Act.
The presidential aide further raised concerns that cheaper fuel in Nigeria compared with neighbouring countries could create incentives for cross-border smuggling.
The renewed disagreement comes amid the wider political debate over the removal of petrol subsidy ahead of the 2027 elections.
Tinubu ended the petrol subsidy regime during his inauguration on May 29, 2023, while Atiku has continued to argue that its removal has worsened the financial burden on Nigerians.
