The Nigerian National Petroleum Company Limited (NNPCL) should publish weekly data on its ₦66-per-litre petrol discount scheme to ensure transparency and accountability, the Alliance for Economic Research and Ethics (AERE) has said.
The organisation urged NNPCL Retail to disclose the number of participating outlets, volumes of petrol sold under the initiative, average discounts granted, and the scheme's impact on sales volumes and profit margins.
In an analysis titled “The ₦66 Question: Relief Without Relapse: How to Cut Petrol Prices Without Rebuilding the Subsidy Monster,” AERE argued that regular disclosures would enable Nigerians to assess the initiative's reach, effectiveness and financial implications.
It said a weekly performance scorecard would provide the public with measurable information about the scheme rather than recurring announcements without sufficient details.
NNPCL introduced the discount on October 1, 2026, as an Independence anniversary promotion. The Federal Ministry of Finance subsequently incorporated the measure into the government's 10-point response to rising petrol prices, with priority assistance promised for public transport operators.
NNPCL later announced that the nationwide discount would remain in effect until October 31.
However, AERE warned that the intervention should remain temporary and must not develop into another fuel subsidy arrangement, stressing that clear timelines, transparency and accountability were necessary to prevent long-term financial commitments.
The organisation noted that although the discount did not involve a direct budgetary allocation, its financial implications could still affect public revenue because NNPCL is state-owned.
It explained that a sustained reduction in the company's commercial margins could reduce the returns available to the government, making it necessary to assess the scheme's costs alongside the relief it provides to consumers.
AERE also questioned the discount's accessibility, noting that it was available through participating NNPCL Retail outlets and the NNPCL Fuel App rather than as a uniform reduction across filling stations nationwide.
Checks conducted at NNPCL outlets in Abuja on October 9 found that motorists paying directly at the pumps did not receive the discount, according to the organisation.
At the average petrol price of ₦1,400 per litre cited by the Finance Ministry, the ₦66 reduction represented approximately 4.7 per cent. AERE compared this with petrol prices of about ₦830 per litre before the latest international oil-market shock.
Although the initiative could reduce motorists' expenses and potentially ease transport fares where operators pass on the savings, AERE maintained that it was not an inflation-control policy and could not guarantee nationwide price reductions.
The organisation further cautioned against restoring blanket petrol subsidies, citing the Finance Ministry's estimate that returning prices to pre-reform levels could cost more than ₦20 trillion annually, even before accounting for inflated consumption and smuggling.
It argued that the potential fiscal burden made targeted relief preferable to a broad price-support system.
Beyond the discount, AERE reviewed other measures in the government's 10-point response, including proposed forward crude sales to domestic refineries, expanded cash transfers and subsidised credit.
It also highlighted the proposed petrol price-modulation arrangement, under which the government is negotiating a ceiling of ₦1,350 per litre for petrol ex-gantry or landing costs.
Under the proposed framework, refiners and importers would absorb costs above the threshold and recover them later when crude oil prices or exchange rates became more favourable.
AERE emphasised that the arrangement remained under negotiation and should not be portrayed as an established national petrol price or a proven solution to price volatility.
It warned that deferred cost recovery could create undisclosed financial obligations if the government failed to explain the terms, beneficiaries and mechanisms for recovering the additional costs.
The organisation therefore urged the government and NNPCL to honour the October 31 expiration date for the discount and clearly communicate the expected costs, duration and circumstances of any extension.
AERE also called for targeted assistance through verified cash transfers, transport vouchers and support for public transport operators to help households most affected by rising transport fares and food prices.
It argued that directing assistance towards vulnerable households could provide more effective relief than general price concessions available to all motorists.
The organisation further advocated stronger enforcement against illegal levies and avoidable logistics charges, alongside faster compressed natural gas (CNG) conversion and more dependable domestic refining capacity.
According to AERE, reducing unnecessary transportation and distribution costs, expanding alternative-fuel adoption and strengthening domestic refining would offer a more sustainable response to rising fuel prices than repeatedly introducing petrol discounts.