The Trade Union Congress of Nigeria (TUC) has urged the Federal Government to use excess crude oil revenue to subsidise local refineries, including the Dangote Refinery, to mitigate rising fuel prices. TUC president Festus Magee warned that without intervention, petrol could reach N2,000 per litre. The union called for urgent measures to stabilise fuel supply, citing the removal of petrol subsidies in 2023 as a key driver of inflation and economic strain. Magee said supporting domestic refining capacity would reduce reliance on imported refined petroleum products. The appeal comes amid growing public concern over fuel scarcity and fluctuating pump prices across major cities. TUC also demanded that the government address insecurity in the Niger Delta, which has disrupted oil production and logistics. The union stressed the need for long-term energy policies that prioritise local refining and job creation.
Festus Magee's warning that fuel could hit N2,000 per litre is not alarmism—it is a projection grounded in the current dysfunction of Nigeria's downstream sector. While the TUC points to the Dangote Refinery as a potential anchor, the real issue is the government's continued hesitation to structurally support domestic refining beyond rhetoric.
The call to use excess crude revenue to subsidise refineries exposes a deeper contradiction: Nigeria earns billions from crude exports but remains hostage to imported petrol. Despite the Dangote Refinery's commissioning, its full impact is limited by inconsistent government policy and lack of off-take agreements. The Niger Delta's insecurity, which TUC flagged, further reveals how regional instability directly undermines national energy security and pricing.
Ordinary Nigerians, especially low-income commuters and small-scale transporters, bear the brunt of every price ripple. Without stable local refining, fuel costs will keep feeding inflation, eroding wages and deepening poverty.
This is not an isolated plea. It reflects a decade-long pattern of reactive fuel policies, where unions and citizens absorb the shock of unfinished energy reforms.
