ADC explains Atiku’s crude subsidy plan

By Juliet Umeh The African Democratic Congress, ADC, Presidential Campaign Council says its candidate, Atiku Abubakar, would allocate a portion of Nigeria’s crude oil to domestic refineries at a reduced price, as part of a proposed production subsidy. One of the council’s spokespersons, Dr Uche Diala, said the proposal would reduce refineries’ input costs.

He said it was different from subsidising imported fuel or giving crude to refiners free of charge. “We are saying that, to the extent that Nigerians need to consume and live, we will sell our share to participating domestic refineries at a reduced cost,” Diala said on Channels Television’s Sunrise Daily. “They will not buy it at the international price, and they will not buy it for free.

It is a production subsidy at the production end, not a consumption or import subsidy.” Asked how the plan could be sustained, Diala said the government would first need to determine how much crude was available for domestic use after accounting for joint-venture commitments and other obligations. “We need to know what quantity of crude we have, and then it is from there that we start with the joint ventures,” he said, adding that the Petroleum Industry Act provided for domestic crude supply.

Diala said the proposal would also require reviewing existing arrangements, including forward-sale agreements, and increasing production. He cited a 2026 budget benchmark of 1.8 million barrels per day, saying Nigeria could raise output to help sustain the plan. “We are doing about 1.6 million barrels a day. If we are serious-minded, we can scale up our production, and that would help to sustain the production subsidy,” he said.

Diala also rejected allegations that ADC staff had gone unpaid for months, describing the claim by the All Progressives Congress as fabricated. “Our party workers are fine. They are getting their remuneration,” he said. He added that the party could provide payroll records if journalists requested them, but said the APC had no moral basis to demand the information.

On the 2027 election, Diala said Atiku would accept defeat if he lost “fair and square,” but expressed confidence that the ADC candidate would win. “He is a democrat. I can assure you that Atiku Abubakar is going to win the election by the grace of God and the support of Nigerians.”