2027: Explain your fuel subsidy plan, APC PCC tells Atiku

The All Progressives Congress Presidential Campaign Council has asked African Democratic Congress (ADC) presidential candidate, Atiku Abubakar, to explain the legal, fiscal and operational framework for his proposed fuel subsidy.
The ​‌‌‍​‌‍⁠⁠‌⁠‌​‌‌​​⁠‌​Council’s spokesperson, Dele Alake, made the demand in a statement on Sunday in Abuja, following Atiku’s recent advocacy for targeted support for locally refined petroleum products.

The council said the ADC flagbearer and former vice president’s proposal raised questions over how government support to domestic refiners would translate into lower pump prices under the existing petroleum-sector framework.

It asked him to clarify whether refiners receiving the proposed subsidy would be required to sell petrol at prescribed prices and identify the legal framework for such conditions.

“If the answer is yes, he should identify the legal framework under which the government would impose that price condition and explain how it would operate consistently with the Petroleum Industry Act.

“If the answer is no, he should explain how public support to refiners would guarantee lower prices at filling stations.”

The council also asked Atiku to disclose the projected cost of the proposal, its annual spending ceiling, funding source, volume covered and safeguards against diversion, smuggling and fraudulent claims.

It said that any proposal involving preferentially priced crude for domestic refineries could affect revenue accruing to the federation and should, therefore, be transparently costed.

The APC-PCC further asked whether amendments to the Petroleum Industry Act (PIA) would be required to implement the proposed intervention, noting that appropriation alone might not resolve regulatory questions.

The council said the ADC presidential candidate’s latest position should also be reconciled with his previous advocacy for downstream deregulation and removal of petrol subsidy.

It recalled that Atiku had described the petrol subsidy system as fraudulent in 2022, and pledged to complete its removal but later said: “I will restore it!”

The council asked him to explain how his proposed intervention would differ from the former subsidy regime and how it would prevent abuses associated with subsidy payments.

“Abubakar’s position, however, has been presented by his campaign as a targeted intervention for domestic production rather than a return to the former import-subsidy system.”

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The APC-PCC said the Tinubu administration had instead, focused on expanding CNG and electric mass transit as lower-cost alternatives, citing reductions already recorded on some routes.

It said more than 120,000 vehicles had been converted to CNG, while the federal government was working with states and transport stakeholders to expand conversion capacity and supporting infrastructure.

In a statement on Saturday, Mr Tinubu said: “From October 1, more Nigerians should begin to see measurable reductions in transportation costs,” while urging states to ensure energy savings translated into lower fares.

The council said every intervention in the downstream sector should be “lawful, transparent, properly costed and capable of delivering measurable benefits to consumers.”

It urged Atiku to provide Nigerians with a detailed policy document and independent legal and fiscal analysis of his proposal, saying the electorate deserved clarity on its implications before the 2027 election.