The presidential candidate of the Allied Peoples Movement (APM) and Oyo State Governor, Seyi Makinde, has rejected calls for the return of fuel subsidy, proposing instead that crude oil supplied to domestic refineries should be sold at a price that reflects Nigeria’s status as an oil-producing country.
Makinde made the proposal on Monday in Abuja while speaking at the commissioning of the APM presidential campaign office.
He said his position should not be interpreted as support for the restoration of the former subsidy regime, which he described as opaque and prone to inefficiencies and distortions.
According to him, Nigerians should benefit directly from the country’s crude oil resources through a transparent pricing framework that reduces the cost of petrol produced by local refineries.
President Bola Tinubu announced the removal of petrol subsidy on May 29, 2023, shortly after assuming office, in fulfilment of one of his major campaign promises.
The decision triggered a sharp increase in petrol prices and contributed to higher living costs, although the Federal Government has maintained that subsidy removal was necessary to address longstanding economic distortions and improve the country's fiscal position.
With the 2027 presidential election approaching, former Vice-President Atiku Abubakar has promised to restore fuel subsidy if elected, arguing that the policy would help cushion the effects of high living costs on Nigerians.
Makinde, however, disagreed with the proposal, saying a better approach would be to ensure that locally produced crude supplied to Nigerian refineries is priced more favourably.
He questioned the rationale for pricing domestic crude as though it had been imported from abroad.
“Let me explain my position very simply with this example. If a community grows food, the people of that community should not have to buy that food as though it travelled halfway around the world before reaching them.
“So why should crude oil supplied to Nigerian refineries be priced as though Nigeria does not produce crude oil? Nigeria’s oil must provide a real and measurable benefit to Nigerians,” he said.
The APM candidate argued that the benefit should be incorporated into the petroleum pricing system at the point where crude is supplied to domestic refiners rather than through interventions at the petrol pump after other costs and inefficiencies have accumulated.
“That benefit should be built into the system from the beginning, through the price at which crude oil is supplied for domestic refining, not through an opaque intervention at the petrol pump after all the costs, inefficiencies and distortions have been added,” Makinde said.
He also called for greater transparency across the petroleum value chain, covering crude production, domestic crude allocation, refining, transportation, distribution, taxation and retail margins.
According to him, Nigerians should be able to understand how the price of petrol is determined, identify those benefiting from payments within the system and know where inefficiencies are contributing to higher prices.
“Nigerians must be able to see how the final price is reached. We need complete transparency across the petroleum value chain—from production and domestic crude allocation to refining, transportation, distribution, taxes and retail margins,” he said.
Makinde said the proposed approach was central to his “Reset Nigeria” agenda, which he said was designed to promote accountable governance and ensure that the country's natural resources translate into improved living standards.
He said Nigeria's wealth should not remain an abstract national asset but should produce measurable benefits for citizens.
The governor also addressed doubts about the viability of his presidential ambition, noting that he had encountered similar scepticism when he first contested the Oyo State governorship.
Makinde recalled that established political forces had been widely regarded as too strong for him to defeat at the time, but voters eventually proved the sceptics wrong.
He said those dismissing his presidential campaign were also overlooking the aspirations of millions of Nigerians who want a more functional country.
He identified traders, farmers, workers, young people and small-business owners among those whose experiences should shape the national conversation.
“But we count. Our voices count. Our experiences count. Our ideas count. And, together, our votes will count,” Makinde said.
He called for Nigerians to participate actively in the “Reset Nigeria” initiative, saying the campaign should not be restricted to politicians but should involve citizens across different sectors and communities.
He said the campaign would seek to hear from traders affected by rising transport costs, farmers struggling to move their produce, business owners facing escalating operating expenses and young Nigerians seeking better economic opportunities.
Makinde described the newly commissioned campaign office as a platform for that engagement and urged Nigerians to contribute ideas and challenge the policies being proposed by political leaders.
He said, “They may discount one candidate. But they cannot discount millions of Nigerians united behind a better future. Let us build a country in which government is transparent, leadership is accountable and Nigeria’s resources work for the Nigerian people.”
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