By Daniel Oluwatobiloba Popoola
The Trade Union Congress of Nigeria (TUC) has urged the Federal Government to deploy excess crude oil revenue to subsidise local refineries as a measure to cushion the impact of rising fuel prices on Nigerians.
TUC President, Festus Osifo, made the call on Thursday, 9 April,2026 during a press briefing in Abuja, warning that the price of Premium Motor Spirit (petrol) could rise to as high as N2,000 per litre if urgent measures are not taken.
He said the persistent increase in pump prices, driven by global crude oil volatility and exchange rate pressures, has worsened the economic hardship faced by Nigerian workers.
Osifo attributed the surge partly to international tensions involving the United States, Israel and Iran, noting that the developments have disrupted global oil supply dynamics.
He further linked rising fuel costs to the depreciation of the naira, warning that the continued weakening of the currency is compounding inflationary pressures and eroding workers’ earnings.
To address the situation, he proposed that the government should channel excess crude revenue into subsidising domestic refining.
He explained that with the 2024 budget benchmark set at $64.85 per barrel, any price above that threshold generates additional revenue shared by the three tiers of government, stressing that at least 60 per cent of such funds should be used to subsidise crude supplied to local refineries, including the Dangote Refinery and other modular refineries.
“Today, the cost of petrol is heading towards N2,000 per litre, depending on the part of the country that you are in. It has deeply affected the purchasing power of the salaries that we earn as Nigerian workers,” he said.
“Let the government take that excess fund that was never budgeted for, take at least 60 per cent of it, and use it to subsidise the crude being supplied to Dangote Refinery.
“The same should be done for Dangote Refinery and all modular refineries, where crude is supplied to them at that subsidised rate.
“Take the difference from the excess crude revenue, take about 60 per cent of it, and use it to subsidise the price at which crude is supplied to the refinery.
“When you subsidise crude, it cannot be abused because you are subsidising production directly. When that is done, we are going to see an immediate reduction in the price of petroleum products.”
He also urged the government to stabilise the naira, noting that exchange rate stability would ease the cost of imported energy and other goods.
Osifo added that the Congress would formally communicate its proposals to the Federal Government, including the Presidency, to fast-track measures aimed at easing the burden on Nigerians.
