Minister Lokpobiri: Petrol Prices Beyond Tinubu’s Control, Cheaper Than US, Others

The Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, has attributed the rising cost of petrol (PMS) to global market forces, absolving President Bola Tinubu’s administration of responsibility. He made the comments on Tuesday while appearing on Channels Television’s Politics Today, reacting to ADC presidential candidate Atiku Abubakar’s call for a production subsidy to make locally refined petrol cheaper for Nigerians.

Defending Tinubu, Lokpobiri said the government has no power to reduce petrol prices since the downstream oil sector has been fully deregulated, stressing that pricing is determined by global market forces rather than the Federal Government. “The Bola Tinubu government doesn’t have any power to reduce or increase the price of petrol. It is completely deregulated in line with global best standards,” he said, adding that crude oil and refined products are traded globally and Nigeria cannot arbitrarily cut prices without returning to a subsidy regime.

He also rejected the argument that petrol should be significantly cheaper because it is refined locally at the Dangote Refinery, explaining that locally produced crude is still sold to refineries at international market prices. However, he said Nigerians already benefit from local refining through improved availability and lower prices compared to some other countries. “We already benefit. That’s why our price is lower than that of the US,” Lokpobiri said, noting that even the US, despite its extensive refining capacity, sells fuel at prices higher than Nigeria’s average pump price. He dismissed Atiku’s proposal as lacking legal, fiscal or financial basis.