Former Vice President Atiku Abubakar has questioned the Federal Government over the management of savings from petrol subsidy removal as the pump price of Premium Motor Spirit (PMS) rises to about N1,470 per litre in some locations.
Atiku, a leading opposition figure, demanded greater transparency over the revenues and savings generated since President Bola Tinubu announced the removal of petrol subsidy in May 2023. He questioned how the savings were being utilised while Nigerians continue to face high fuel prices and rising living costs.
The former vice president’s intervention comes amid renewed concerns over petrol prices and the broader impact of the government’s economic reforms on households and businesses. He argued that Nigerians deserve clear information about the financial benefits of subsidy removal and how those resources are being deployed.
The issue is significant because petrol remains central to Nigeria’s economy. Higher pump prices directly affect transportation costs and can increase the cost of moving food, goods and services across the country. Businesses also face higher operating expenses when energy and logistics costs rise.
The Tinubu administration has maintained that subsidy removal was necessary to reduce the financial burden on government and redirect resources towards development. Officials have also pointed to increased allocations to state and local governments following the policy.
However, questions about the actual savings from subsidy removal have persisted. In 2024, the Federal Government acknowledged substantial petrol subsidy expenditure despite its earlier declaration that the subsidy had been removed, fuelling further debate about the policy’s implementation and transparency.
Atiku has previously criticised the government’s economic reforms and argued that Nigerians have not received sufficient benefits from increased government revenues.
The latest dispute comes as political parties prepare for the 2027 general elections, with economic hardship, fuel prices and government accountability expected to remain major campaign issues.
As petrol prices continue to fluctuate, the debate over subsidy savings is likely to remain a key part of discussions about Nigeria’s economic management and the government’s reform agenda.
