Presidential candidate of the African Democratic Congress, Atiku Abubakar, has reaffirmed his commitment to restoring a targeted petrol subsidy if elected president in 2027, distancing himself from comments by his media aide, Paul Ibe, on how the policy would be implemented.
Mr Atiku made the clarification on Tuesday while receiving the Osun State leadership of the ADC in Abuja, as the controversial issue of fuel subsidy returns to the centre of the 2027 presidential campaign.
Mr Atiku said one of his press aides had contradicted his position on subsidy and stressed that the aide was not speaking on his authority.
“Earlier, one of my press aides contradicted me in a policy statement as far as subsidy is concerned,” Atiku said.
He added, “I want to repeat categorically that when I said I would return to subsidy, I will! Nigeria is rich enough to look after the welfare of its citizens. Let it be clearly stated that he was not speaking on my own authority.”
Mr Ibe had earlier said during an interview on AIT that Mr Atiku would restore petrol subsidy if elected but would gradually phase out the intervention after the economy recovered.
Atiku: ‘My position has not changed’
In a separate statement posted on X, Mr Atiku said his position on subsidy remained unchanged.
He argued that Nigeria should use its resources to protect citizens from economic hardship, stressing that the value of the economy should also be measured by the purchasing power of ordinary Nigerians.
“I believe the wealth of a nation is not measured by how much the government collects, but by how much money in the pockets of its people can buy,” he said.
Mr Atiku said he wanted Nigerian workers to regain purchasing power, farmers to move their produce without excessive transportation costs and businesses to operate in an environment that allows them to produce, employ and grow.
“That is why I will restore targeted subsidies and put purchasing power back in the hands of Nigerians,” he stated.
Why the subsidy debate matters
The petrol subsidy was removed by President Bola Tinubu on 29 May 2023, shortly after he assumed office. The decision led to a sharp increase in petrol prices and contributed to the broader cost-of-living pressures experienced by Nigerians.
The Federal Government has defended the removal as part of its economic reforms, arguing that ending the subsidy would reduce the financial burden on government and create room for investment and other forms of public spending.
However, the policy remains politically sensitive because petrol prices affect transportation, food distribution, household expenses and the operating costs of businesses.
Atiku proposes targeted subsidy
Mr Atiku’s latest position is framed around a targeted subsidy, rather than simply returning to the previous subsidy regime.
He said the intervention would be accompanied by controls designed to prevent the leakages and abuses associated with the former system.
His argument is that government support should remain in place until the economy is strong enough for citizens and businesses to withstand the removal of such assistance.
“You do not remove scaffolding because the calendar says so. You remove it when the building can stand securely on its own,” he said.
Proposal draws criticism
The renewed subsidy proposal has already attracted criticism from the Independent Media and Policy Initiative (IMPI), which warned that restoring subsidy could discourage foreign investment and weaken confidence in Nigeria’s regulatory environment.
The policy think-tank argued that a return to government-controlled petrol pricing could create uncertainty for investors after years of downstream-sector deregulation.
Mr Atiku’s proposal has therefore opened another major economic debate ahead of the 2027 election: whether the government should prioritise protecting consumers from high fuel costs through targeted intervention or maintain market-based pricing while addressing the wider cost-of-living crisis through other measures.
For Nigerians, the debate is ultimately about the price of fuel and the cost of living.
A targeted subsidy could potentially reduce the pressure of petrol prices on transport fares, food prices and household budgets if properly designed and transparently implemented.
However, the sustainability, funding, administration and safeguards of such a policy would determine whether it benefits ordinary Nigerians without recreating the leakages associated with the previous subsidy regime.
The controversy also places fuel pricing firmly among the major economic issues likely to shape the 2027 presidential election.
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