The Price of Cheap Petrol

THISDAYLIVE | 01-09-2026 04:50am |

The article examines Nigeria's fuel subsidy debate, noting that the country abolished one subsidy and is now considering another aimed at production rather than consumption. It explains that for decades, the state paid part of the cost of selling petrol cheaply, but by 2023, fiscal pressure and smuggling made this unsustainable. The new proposal would support domestic refineries by providing crude on preferential terms. The piece questions who ultimately pays for cheap fuel, suggesting there is no free lunch.

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