Subsidy pain must yield gains for Nigerians — PENGASSAN

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The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) has said debates over the removal of fuel subsidy are now belated, urging the Federal Government to ensure that the policy’s benefits translate into improved living conditions for Nigerians.

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PENGASSAN President, Bosun Olabiyi-Agoro, stated this on Friday while appearing on Channels Television’s The Morning Brief.

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Olabiyi-Agoro said Nigerians had endured significant hardship since President Bola Tinubu announced the removal of the petrol subsidy shortly after assuming office in May 2023.

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“I think the argument over whether to remove the subsidy or not to remove it is belated now. We have done it, but we need to start seeing the benefits of fuel subsidy removal in the lives of common Nigerians,” he said.

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Following the policy, petrol prices rose from about ₦200 per litre to around ₦1,300, contributing to increased transportation costs and a broader rise in the cost of living.

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While critics and opposition politicians have continued to question the policy, the Federal Government has maintained that there is no going back on subsidy removal.

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Olabiyi-Agoro acknowledged that the decision was painful, particularly for workers and low-income Nigerians who have continued to grapple with economic pressures.

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He, however, said recent improvements in key macroeconomic indicators must begin to reflect in the daily lives of citizens.

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His comments came against the backdrop of Nigeria’s reported 4.43 per cent Gross Domestic Product (GDP) growth in the second quarter of 2026.

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The PENGASSAN president said improvements in GDP, foreign exchange reserves and the balance of trade were positive developments, but stressed that such gains would have little meaning to ordinary Nigerians if they did not result in better access to food and improved living conditions.

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“What we are advocating for at the moment is that we want to see that translate into what is going to help a common man and not just the things that we see in figures,” he said.

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He added that workers were prepared to contribute to the country’s economic recovery and support measures that would improve the economy, irrespective of the government in power.

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On the impact of subsidy removal on petroleum supply, Olabiyi-Agoro said the policy had contributed to improvements in the availability of petroleum products.

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“From the moment there was no budget for subsidy again up until now, we believe that we are buying products at their right prices without the government putting in a subsidy, so I think we’ve left one side of that argument,” he said.

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The PENGASSAN chief maintained that the focus should now shift from whether subsidy should have been removed to ensuring that the economic gains from the policy are felt by Nigerians.

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