2027: Explain how fuel subsidy plan will work, APC tells Atiku

The All Progressives Congress Presidential Campaign Council has asked Atiku Abubakar, the presidential candidate of the African Democratic Congress, to explain the legal and fiscal basis of his proposed production subsidy for locally refined petrol. Atiku's proposal aims to lower pump prices by providing subsidies to refineries, but the APC-PCC has raised important questions regarding the legal framework, funding, and enforcement of such an intervention.

The council cited Section 205(1) of the Petroleum Industry Act 2021, which states that wholesale and retail prices of petroleum products shall be based on unrestricted free-market pricing conditions. However, the Nigerian Midstream and Downstream Petroleum Regulatory Authority has stated that it does not fix petrol pump prices or issue administrative pricing templates.

Atiku has also been challenged to disclose the cost of the proposal and how it would be funded, as well as provide details on the mechanism to guarantee lower pump prices and safeguards against diversion, smuggling, and fraudulent claims.

Brief written by urgent.news from Punch's own syndicated text. Machine-written — may contain errors; check the original before relying on it.