The African Democratic Congress (ADC) has said its presidential candidate, Atiku Abubakar, plans to introduce a production subsidy that would enable domestic refineries to purchase Nigeria’s crude oil at below-market rates.
Dr Uche Diala, a spokesperson for the ADC Presidential Campaign Council, said the proposed policy was intended to reduce the cost of crude oil for local refiners and support domestic petroleum production.
Diala, who spoke on Channels Television’s Sunrise Daily, explained that the initiative would not involve giving crude oil to refinery operators free of charge or subsidising imported petroleum products.
According to him, the proposal would allow participating refineries to buy a portion of Nigeria’s crude allocation at a reduced price, thereby lowering their production costs.
“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.
“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.”
Addressing concerns about the feasibility of the plan, the ADC spokesperson said the government would need to determine the volume of crude available for domestic refining after meeting existing obligations to joint-venture partners and other contractual commitments.
He said the Petroleum Industry Act made provision for domestic crude supply, but noted that the proposed policy would require a review of current supply arrangements, including forward-sale agreements.
Diala also identified increased crude oil production as a critical factor in sustaining the proposed subsidy.
He referenced the 1.8 million barrels per day production benchmark in the 2026 budget, arguing that Nigeria could increase output from its current level to provide sufficient crude for local refineries.
“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.
The ADC spokesperson further denied allegations by the ruling All Progressives Congress (APC) that the opposition party had failed to pay its workers for several months.
Diala described the allegation as fabricated, maintaining that ADC employees were receiving their salaries. He added that the party was prepared to provide payroll records to journalists who requested them.
“Our party workers are fine. They are getting their remuneration,” he said, while questioning the APC’s moral basis for demanding access to the records.
On the 2027 presidential election, Diala said Atiku would respect the outcome of a credible election, including accepting defeat if he lost fairly.
He, however, expressed confidence that the former vice-president would win the election, citing what he described as the anticipated support of Nigerians.
“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,” he said.
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