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An overhead shot of traffic in a rural city.

Energy Subsidies in Nigeria

The GSI’s program of work in Nigeria undertakes research and policy engagement on subsidies for fuel consumers and renewable energy.

Research

Objectives
  • Reduce overall fossil fuel subsidy expenditure
  • Improve the fair social distribution of subsidy expenditure
  • Ensuring that subsidy reforms are gender sensitive and promote gender equality
  • Increase clean energy access and use, particularly among poorer households
Collaborations

In carrying forward this work, the Global Subsidies Initiative has collaborated primarily with the Facility for Oil Sector Reform (FOSTER) and Spaces for Change (S4C).

Does subsidy removal hurt The poor? The case of fuel subsidies in Nigeria

A jump in fuel prices is never welcome by the general populace. Yet in Nigeria, where fuel prices are regulated, the government has recently allowed the price of refined petroleum products' to rise, and is prepared to continue doing so. The Nigerian government routinely imports petroleum and sells these imports at below cost on the domestic market to keep price levels down.

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Blog: Removing Fuel Subsidies: Clearing the Road to Sustainable Development

Fuel prices, fuel taxation and subsidies for petrol and diesel fuel rank high on the world's political agenda, particularly after the spectacular increases in world market prices for crude oil (up to USD 75 a barrel in August 2006) and the subsequent slide in price to around USD 54 a barrel in January 2007.

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