The presidential candidate of the Accord Party, Gbenga Olawepo-Hashim, has said Nigerians should not pay more than ₦605 per litre for petrol under an Accord administration, adding that the price could eventually fall to as low as ₦200 if Nigeria improves production costs and stabilises the exchange rate.
Hashim made the statement on Wednesday while outlining his proposed petroleum pricing framework.
He said ₦605 per litre would represent a sustainable starting price rather than an artificially subsidised rate, insisting that reducing the pump price would not come at the expense of government revenue or Federation Account Allocation Committee revenues.
“₦605 per litre is our starting sustainable price for petrol. Nobody will buy petrol above ₦610 under our government. It could be as low as ₦200,” he said.
Hashim, who has consistently opposed the removal of petroleum subsidy, argued that Nigeria must first establish the actual cost of producing, refining, transporting and distributing petrol before determining whether the government is subsidising consumers.
He described the previous justification for subsidy removal as “accounting magic”, arguing that comparing domestic petroleum prices with international benchmarks does not necessarily mean that the difference represents a subsidy.
“Any time you sell a product above its legitimate cost of production, refining, transportation and insurance, you cannot call the difference between that price and an international benchmark a subsidy loss. That is opportunity cost,” he said.
According to him, Nigeria has often approached petroleum pricing by comparing the domestic value of crude or refined products with international market prices instead of determining the actual cost of producing and delivering the products to Nigerian consumers.
“A country does not subsidise itself simply because it chooses to use its own resources to provide affordable energy to its citizens,” he said.
The Accord candidate called for an independent forensic audit of Nigeria’s petroleum cost structure, covering crude oil production, contracting, procurement, refining, transportation, storage, insurance, pipeline operations and distribution.
He said the audit should establish the actual cost of producing and delivering every litre of petrol to the Nigerian market.
“Show Nigerians the books. Publish the production cost. Publish refinery cost. Publish transportation. Publish insurance. Publish every margin. Let the data speak,” Hashim said.
He also questioned Nigeria’s relatively high oil production costs compared with other major oil-producing countries, saying contracting, procurement, insecurity, operational inefficiencies and possible cost inflation should be thoroughly examined.
“Before asking Nigerians to pay more, government must first explain why it costs so much to produce our own oil. If the cost is genuine, show us the evidence. If it is inefficiency, corruption or inflated contracting, fix it,” he said.
Hashim argued that Nigerians were effectively paying twice for weaknesses in the petroleum sector — first through inefficient and inflated production costs and again through higher pump prices.
“The Nigerian people should not pay for inefficiency twice. They should not pay for inflated costs inside the system and then be told that the resulting high price is the inevitable consequence of subsidy removal,” he said.
He said his proposed pricing framework would be based on two key variables: an appropriate production cost and an appropriate exchange rate.
Hashim said his administration would target an exchange rate of between ₦525 and ₦700 to the dollar, arguing that exchange-rate stability would significantly affect the naira cost of petroleum-sector inputs and the wider economy.
“We will achieve this strictly by ensuring appropriate production cost and appropriate exchange rate,” he said.
The presidential candidate stressed that the proposed reduction in petrol prices would not be achieved by reducing government revenue.
“The reduction will not be at the detriment of government revenue or below current FAAC. We are not going to make petrol cheaper by making government poorer,” he said.
According to Hashim, the objective is to reduce the underlying cost of production rather than simply transfer the cost from government accounts to consumers or vice versa.
He argued that lower energy costs could stimulate production, reduce transportation and manufacturing expenses, increase household purchasing power and expand the economic base from which the government generates revenue.
“Our objective is not simply cheap petrol. Our objective is a productive Nigerian economy in which affordable energy, stronger production and stronger government revenue reinforce one another,” he said.
Hashim said the proposed ₦200–₦300 per litre price should therefore be regarded as a potential medium-term outcome of correcting Nigeria’s economic fundamentals rather than an arbitrary political promise.
“₦605 is the starting sustainable price. If we get production costs right and achieve the exchange-rate target, the price could come down to ₦200 or ₦300,” he said.
He added that the policy would be accompanied by accelerated domestic refining, greater transparency in the petroleum value chain and measures to eliminate waste and leakages.
Hashim maintained that subsidy should not automatically be regarded as illegitimate, provided any government intervention is transparent, targeted and designed to achieve measurable economic objectives.
“The issue is not whether government can intervene. The issue is whether government intervention is transparent, productive and accountable. Subsidy should protect Nigerians and the productive economy, not enrich intermediaries,” he said.
He said the debate over petrol pricing should move beyond political slogans and focus on the underlying economic data.
“Let the data speak. Tell Nigerians exactly what it costs to produce the crude, what it costs to refine it, what it costs to transport it and what every margin represents. Then we can have an honest conversation about subsidy,” Hashim said.
He added that the 2027 election should be a contest over competing economic models rather than political personalities.
“Nigeria does not have to choose between affordable petrol and government revenue. We can have both. But we must stop using accounting to hide inefficiency and start using economics to build prosperity.”