A pro-government advocacy group has defended the Nigerian government’s recently introduced fuel price ceiling, describing it as a necessary measure to cushion citizens from global energy price volatility linked to escalating tensions in the Middle East.

The Tinubu Media Support Group (TMSG) stated on Monday, arguing that Nigeria’s temporary intervention reflects actions taken by more than 115 countries worldwide to address cost-of-living pressures.

The policy package includes a month-long fuel discount, a price cap subject to monthly review, targeted tax relief for low-income earners, expanded cash transfers, and subsidized credit for small businesses.

Rebuffing subsidy claims

The group firmly rejected claims by opposition figures, including Atiku Abubakar of the African Democratic Congress (ADC), who framed the move as a reversal of President Bola Tinubu’s fuel subsidy removal.

In a joint statement, TMSG Chairman Emeka Nwankpa and Secretary Dapo Okubanjo stressed that the relief measures do not mark a return to state-funded fuel subsidies.

“A marginal discount for a short period borne by retailers does not amount to a return of fuel subsidy in any guise,” the group said, quoting Coordinating Minister of the Economy and Minister of Finance Taiwo Oyedele.

“The government is not dipping into public coffers or the federation account to fund the discount, nor is it drawing from the federal budget. These are temporary reliefs to mitigate the effects of an ongoing global conflict.”

Long-term energy security

To guard against future disruptions in global crude supplies, the group highlighted government plans to establish a National Strategic Fuel Reserve.

The facility is intended to release refined products during market shocks to reduce price volatility without resorting to fixed price controls or budget-funded subsidies.