Presidency warns Nigerians against Atiku’s plan to restore petrol subsidy, says its very risky plan

The Presidency has urged Nigerians to reject former Vice President Atiku Abubakar’s promise to restore the petrol subsidy if elected president in 2027, describing the proposal as a risky political move that could undermine Nigeria’s economic progress.

The Special Adviser to President Bola Ahmed Tinubu on Media and Public Communication, Sunday Dare, made the call in a statement posted on X while reacting to Atiku’s recent position on the subsidy.

In a statement titled “Atiku’s Subsidy U-Turn: The Bankruptcy of Desperate Ambition,” Dare accused the African Democratic Congress (ADC) presidential candidate of changing his position on subsidy removal for political reasons.

According to him, Atiku had previously supported the removal of the petrol subsidy but was now promising to restore it ahead of the 2027 presidential election because of the economic hardship Nigerians are experiencing.

Dare described the former vice president’s position as “political opportunism” and accused him of attempting to exploit public frustration with the effects of subsidy removal.

“To watch a self-styled statesman—who less than four years ago cast himself as an uncompromising apostle of market-driven reform—scramble to promise the reintroduction of petrol subsidies is nothing short of political apostasy,” Dare said.

He argued that Atiku’s current position contradicted the economic position he presented during the build-up to the 2023 presidential election.

According to Dare, Atiku had previously backed the removal of the subsidy and criticised the scheme as expensive and vulnerable to corruption.

Atiku defends subsidy U-turn

Atiku recently said his position had changed following the removal of the subsidy by President Tinubu in May 2023.

The former vice president made the statement during a Facebook Live session while responding to questions about the impact of the policy on Nigerians.

Atiku said he initially did not oppose the removal of the subsidy but questioned how the savings from the policy had been utilised.

“I initially did not oppose the removal of the fuel subsidy. But now that it has been removed, where is the money? Where has the subsidy money gone? Has it been used to improve healthcare, education or security?” he said.

He added: “If I win the presidential election, I will restore the subsidy. And anyone who stole Nigeria’s subsidy funds must return the money.”

Presidency defends Tinubu’s subsidy policy

President Tinubu announced the removal of petrol subsidy during his inauguration on May 29, 2023, arguing that Nigeria could no longer afford to continue funding the scheme.

The policy triggered a sharp increase in petrol prices and contributed to higher transportation, food and other living costs, placing additional pressure on households and businesses.

Tinubu has consistently defended the decision, arguing that resources previously committed to subsidy payments could instead be redirected towards infrastructure, healthcare, education, transportation and national security.

In a national broadcast in July 2023, the President said the subsidy had cost Nigeria trillions of naira annually and argued that the funds could be better deployed to public services.

Dare maintained that reversing the policy would jeopardise what he described as economic gains recorded under the Tinubu administration.

He said the former subsidy regime encouraged corruption and prevented government from deploying substantial resources to critical sectors.

“The old import subsidy regime was not merely a pricing mechanism; it was a black hole of rent-seeking, round-tripping, and monumental corruption that starved health, education, and infrastructure of vital capital,” Dare said.

He further warned that restoring the subsidy could undermine the growth of domestic refining and discourage private investment in Nigeria’s petroleum sector.

“Restoring it would instantly sabotage the nascent renaissance of local refining, crush private sector confidence, and plunge the country back into chronic foreign exchange haemorrhage,” he said.

The exchange between the Presidency and Atiku adds another major economic policy issue to the growing political debate ahead of the 2027 presidential election, with subsidy policy likely to remain a key point of contention among the major candidates.

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