Nigeria’s petrol subsidy debate has intensified ahead of the 2027 general elections, with the ruling All Progressives Congress (APC) defending President Bola Tinubu’s economic reforms while the African Democratic Congress (ADC) demands greater accountability for an alleged N15.8 trillion in additional revenue.
The revenue was reportedly generated through the removal of the petrol subsidy and foreign exchange reforms between June 2023 and December 2025, according to figures cited by the opposition party.
The renewed debate was triggered by former Vice-President Atiku Abubakar’s proposal to reinstate the petrol subsidy if elected president in 2027.
APC National Chairman, Professor Nentawe Yilwatda, has warned that restoring the petrol subsidy could reverse some of the gains recorded under the current administration’s reforms.
Yilwatda argued that bringing back the subsidy would place additional pressure on government finances, potentially affecting the payment of workers’ salaries and pensions as well as funding for education, healthcare and infrastructure.
Speaking in Abuja, the APC chairman acknowledged that cheaper petrol could provide immediate relief for Nigerians. However, he maintained that the government would ultimately have to finance the subsidy, urging citizens to consider the broader financial implications of returning to the previous system.
Yilwatda also argued that the removal of the subsidy had contributed to higher federal allocations to state governments.
According to him, the increased allocations have strengthened state finances, particularly in states that previously struggled to pay salaries and pensions.
However, the APC chairman acknowledged the hardship Nigerians have experienced since the subsidy was removed. He said the government must continue to protect vulnerable citizens but maintained that restoring the old subsidy regime would not provide a sustainable solution.
While defending the reforms, the APC has faced pressure from the ADC, which is demanding an account of the additional resources generated since the subsidy removal and foreign exchange reforms.
The opposition party has also challenged Abdulaziz Yari, Director-General of Tinubu’s 2027 re-election campaign, to explain how Nigerians have benefited from the increased government revenue.
In a statement, ADC National Publicity Secretary Bolaji Abdullahi cited figures attributed to the Minister of Finance. The party said the reforms generated about N15.8 trillion in additional resources between June 2023 and December 2025.
The ADC claimed that about N5.4 trillion went to the Federal Government, another N5.4 trillion to state governments and approximately N3.9 trillion to local governments.
The party also said states received about N47.25 trillion in Federation Account allocations between 2023 and 2025.
The opposition party questioned whether the increased government revenue has translated into meaningful improvements in Nigerians’ living conditions.
The ADC pointed to rising food, transportation and petrol costs, arguing that citizens should be able to see clearer evidence of how the additional resources have been used.
It called on the Federal Government and state governments to publish details of projects financed with increased allocations, including roads, schools, hospitals and mass-transit systems.
The party also questioned why some state governments continue to borrow despite receiving larger allocations from the Federation Account.
Despite its criticism of the government’s reforms, the ADC said its position should not be interpreted as support for the former petrol subsidy regime.
The party described the previous system as opaque and vulnerable to corruption but argued that the removal of subsidies should be accompanied by measures capable of reducing the burden on consumers.
It proposed greater investment in domestic refining capacity and called for targeted, transparent interventions to help lower petrol prices.
The dispute between the APC and ADC reflects a broader political argument over how Nigeria should manage petrol prices, government revenue and economic reforms ahead of the 2027 elections.
While the APC argues that subsidy removal has improved government finances and increased allocations to states, the ADC is demanding evidence that the additional revenue has translated into better living conditions.
As political parties begin shaping their economic messages ahead of the 2027 election, the question of whether Nigeria should maintain, modify or reverse petrol subsidy reforms is likely to remain a major issue for voters.
