N66 Petrol Discount Fails to Ease Transport Costs as Drivers, Commuters Groan

N66 Petrol Discount Fails to Ease Transport Costs as Drivers, Commuters Groan

Nigeria’s N66-per-litre petrol discount for commercial transport operators has done little to ease the burden of rising transport costs, with drivers and commuters continuing to complain that the intervention has yet to translate into meaningful savings.

Although the Nigerian National Petroleum Company Limited (NNPC Ltd.) introduced the initiative to cushion the impact of high petrol prices on commercial transport operators and vulnerable households, drivers say the relief is being eroded by rising vehicle maintenance costs, daily remittances, union levies and difficulties accessing the scheme.

The discount, launched on October 1, was initially scheduled to end on October 14 but has been extended to October 31.

Under the arrangement, eligible customers can purchase petrol at N1,350 per litre at participating NNPC retail outlets, provided they use the company’s mobile application and make payments digitally.

However, transporters and experts interviewed by BusinessDay said the savings are too small to significantly improve drivers’ earnings or reduce fares for commuters, particularly as other operating expenses continue to rise. They also raised concerns about the accessibility of the scheme, arguing that its digital payment requirements could limit participation among some commercial operators.

For many drivers, the cost of running a vehicle extends far beyond the price of fuel, making it difficult to pass the benefits of the discount on to passengers.

Felix Okoro, a commercial bus driver operating along the Obalende-Golden Gate route in Lagos, said petrol was only one of several expenses he had to contend with daily.

His experience reflects the wider frustration among transport operators, who say that even when fuel costs fall marginally, the savings are quickly absorbed by vehicle repairs, maintenance, levies and the daily financial obligations associated with operating commercial vehicles.

For commuters, the continued pressure on transport fares raises questions about the effectiveness of the intervention and whether the discount is reaching those it was designed to support.

While the extension of the scheme offers the government more time to provide relief, persistent complaints from drivers and passengers suggest that reducing fuel costs alone may not be sufficient to address Nigeria’s wider transport affordability crisis.


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