Business
Ex-PENGASSAN Chief Faults Association For Announcing Fuel Price Hike
Aformer President of the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) has faulted the Petroleum Retail Outlets Owners Association of Nigeria (PETROAN) for announcing an increase in the pump price of gasoline.
Mr Peter Esele told a correspondent in Benin last Saturday that PETROAN had no right to increase petrol pump price unilaterally.
On February 8, the President of PETROAN, Dr Billy Gillis-Harry announced an increase in the retail price of fuel from N160 to N178 per litre.
Findings by The Tide correspondent showed that although filling stations in Benin had adjusted their prices upwards, none is selling for as high as N178 as announced by Billy Gillis.
Some filling stations are however, selling for between N165 to N168 as against the previous prices of N159 to N161 per litre.
At the NNPC Mega Station fuel price has been adjusted from N159 to N165.
Similarly, at Conoil and Buvel Oil filling stations, prices have been adjusted from N161 to N168, respectively.
According to Esele, PETROAN has no right to increase fuel pump price, a responsibility he said, that is solely vested on the Petroleum Products Pricing Regulatory Agency.
The unionist argues that what the association has done by announcing the price hike is to draw attention to the challenges they are currently facing in the downstream.
“They are pained over what they are expected to pay at the depot.
“So increasing the price is one of the ways to draw attention to their plight. The measure is to bring pressure on government to look into their plight.
“It is, however, their right to do so.”
The former Trade Union Congress president said that what the action of PETROAN showed was that the Federal Government had not yet enforced what it wanted to do with the earlier N5 reduction in the pump price of fuel.
Esele said that going by current dynamics in the oil sector, it had become clear that the downstream was not yet fully deregulated.
“I don’t think we are fully deregulated because I think government is still paying subsidies.
“There is still subsidy payment being made somewhere and if you say it’s fully deregulated, if landing cost is at N180 and you are selling at N160 or N168, who then is paying the difference?”
Esele advised government to embark on awareness campaigns to educate citizens, especially the ordinary man on the impact of the rising cost of crude oil prices.
“It’s something that we expect the ministry of information to talk about.
bringing out the economic aspects of it and letting people know that this is where we are and this is where we are going.
“On the other side, the government also has to reach out to the people to let them know what it is doing to cushion the effects of fuel price increases.
“So if the prices are going up and the people have to go through some pains, government also has to find a way to mitigate whatever pains the people are going through.
“That is the politics of deregulation.”
Edun made the call while speaking at the 2025 Fellowship Investiture of the Chartered Institute of Bankers of Nigeria (CIBN) in Lagos, where he reaffirmed the federal government’s commitment to sustaining ongoing reforms and expanding access to finance as key drivers of economic growth beyond four per cent.
“We all know that monetary policy under Cardoso has stabilised the financial system in a most commendable way. Of course, it is a team effort, and those eye-watering interest rates have to be paid by the fiscal side. But the fight against inflation is one we all have to participate in,” he said.
The minister stressed the need for banks to broaden credit access and finance innovation-driven enterprises that can create jobs for young Nigerians.
“The finance and banking industry has more work to do because we must finance their ideas, deepen the capital and credit markets down to SMEs. They should not have to go to Silicon Valley,” he said.
The minister who described the private sector as the engine of growth, said the government’s reform agenda aims to create an enabling environment where businesses can thrive, access funding, and contribute meaningfully to job creation.
The facility, known as the Nigeria Actions for Investment and Jobs Acceleration (P512892), is a Development Policy Financing (DPF) operation scheduled for World Bank Board consideration on December 16, 2025.
According to the Bank’s concept note , the financing would comprise $500m in International Development Association (IDA) credit and $500m in International Bank for Reconstruction and Development (IBRD) loan.
If approved, it would be the second-largest single loan Nigeria has received from the World Bank under President Bola Tinubu’s administration, following the $1.5 billion facility granted in June 2024 under the Reforms for Economic Stabilisation to Enable Transformation (RESET) initiative.
The World Bank said the new programme aims to support Nigeria’s shift from short-term macroeconomic stabilisation to sustainable, private sector–led growth.
“The proposed Development Policy Financing (DPF) supports Nigeria’s pivot from stabilization to inclusive growth and job creation. Structured as a two-tranche standalone operation of US$1.0 billion (US$500 million IDA credit and US$500 million IBRD loan), it seeks to catalyse private sector–led investment by expanding access to credit, deepening capital markets and digital services, easing inflationary pressures, and promoting export diversification,” the document read.
The document further stated that Nigeria’s private sector credit-to-GDP ratio stood at only 21.3 per cent in 2024, significantly below that of emerging-market peers, while capital markets remain shallow, with sovereign securities dominating the bond market.
To address these weaknesses, the DPF will support the implementation of the Investment and Securities Act 2025, operationalisation of credit-enhancement facilities, and introduction of a comprehensive Central Bank of Nigeria rulebook to strengthen risk-based regulation and consumer protection.
The operation also includes measures to deepen digital inclusion through the passage of the National Digital Economy and E-Governance Bill 2025, which will establish a legal framework for electronic transactions, authentication services, and digital records.
Beyond the financial and digital sectors, the programme targets reforms to lower production and living costs by tackling Nigeria’s restrictive trade regime. High tariffs and import bans have long driven up consumer prices and constrained competitiveness, particularly for manufacturers and farmers.
Under the proposed reforms, Nigeria would adopt AfCFTA tariff concessions, rationalise import restrictions, and simplify agricultural seed certification to increase the supply of high-quality varieties for maize, rice, and soybeans. The World Bank projects that these measures will help reduce food inflation, attract private investment, and enhance export potential.
The operation is part of a broader World Bank FY26 package that includes three complementary projects—Fostering Inclusive Finance for MSMEs (FINCLUDE), Building Resilient Digital Infrastructure for Growth (BRIDGE), and Nigeria Sustainable Agricultural Value-Chains for Growth (AGROW)—all focused on expanding access to finance, strengthening institutions, and mobilising private capital.