Special Adviser to President Bola Tinubu on Media and Public Communication, Sunday Dare, has criticised former Vice-President Atiku Abubakar’s plan to restore petrol subsidy if elected president in 2027.
Dare described the proposal as an “economic safari,” arguing that selling crude oil to local refineries at below-market prices could create fiscal, market and smuggling challenges.
In a post on X titled “The Arithmetic Flaw in Subsidizing the Barrel,” the presidential aide said preferential crude pricing would reduce revenue accruing to the three tiers of government through the Federation Account.
He also warned that the policy could distort competition in the downstream petroleum sector, create artificial monopolies and undermine smaller indigenous modular refineries.
Dare further argued that selling petrol at significantly lower prices in Nigeria than in neighbouring countries could encourage cross-border smuggling and fuel arbitrage.
His comments followed Atiku’s renewed pledge to restore petrol subsidy if elected in 2027.
Atiku had earlier rejected a statement by his media aide, Paul Ibe, that the subsidy would be restored temporarily before being phased out. Clarifying his position, the former vice-president said, “I will restore it,” insisting that Nigeria had sufficient resources to protect citizens from economic hardship.
Dare, however, maintained that subsidy would only address the symptoms rather than the underlying problems in the petroleum sector.