Fuel Prices Market-driven, Nigerians Should Support Local Refineries – Edun

Nigeria’s minister of finance and coordinating minister of the economy, Wale Edun, has said the current petrol prices in the country reflect prevailing market realities, urging Nigerians to appreciate the growing local refining capacity.

Edun made the remarks during an appearance on Politics Today on Channels Television, where he explained that the present fuel pricing framework is a result of market-driven reforms introduced by President Bola Ahmed Tinubu.

According to the minister, the policy replaced the previous system that kept petrol prices artificially controlled for several years.

“Current fuel prices reflect market conditions,” Edun said. “What we have now is a system where prices respond to the dynamics of supply and demand rather than government fixing them.”

He noted that developments in the downstream petroleum sector, particularly the operations of the Dangote Refinery owned by billionaire industrialist Aliko Dangote, demonstrate how the market is gradually stabilising.

The minister pointed out that the refinery had already influenced price adjustments in the domestic market.

“At a point, the refinery reduced petrol prices from about ₦1,200 per litre to around ₦1,000 to ₦1,050 per litre. Those are normal market dynamics when supply improves and competition begins to take effect,” he said.

Edun further stressed that Nigeria’s economic resilience would be strengthened by investments in local refining capacity, adding that supporting domestic refiners is critical to ensuring stable fuel supply.

He urged Nigerians to recognise the progress being made, noting that local production of refined petroleum products could reduce the country’s dependence on imports over time.

The finance minister also expressed optimism about the broader outlook of the Nigerian economy despite prevailing global uncertainties, including tensions in the Middle East and the ongoing Russia-Ukraine War.

According to him, ongoing economic reforms by the current administration are beginning to yield results.

“We believe the country is gradually recovering,” Edun said. “If the reforms continue, Nigerians can already see the light at the end of the tunnel.”