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PETROAN seeks 30% share of govt’s discounted petrol for nationwide distribution – EnviroNews
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The Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) has commended the Federal Government for introducing a 30-day petrol discount scheme aimed at reducing transportation costs and alleviating the economic hardship faced by Nigerians.
However, the association has urged the Federal Government to allocate 30 per cent of the total volume of discounted petrol to its retail outlets to ensure wider distribution of the intervention, particularly in rural and underserved communities across the country.
PETROAN also called for the association to be positioned to champion and pilot the Federal Government’s Compressed Natural Gas (CNG) initiative nationwide, citing its extensive retail network and grassroots presence.
The association made the requests in a statement issued in Abuja on Friday, October 9, 2026, and signed by Mr. Chris Odia, Special Adviser on Media, PETROAN, and Dr. Joseph Obele, National Public Relations Officer of the association.
The Federal Government’s petrol discount initiative was announced by the Minister of Finance and Coordinating Minister of the Economy, Mr. Taiwo Oyedele, during a press briefing in Abuja.
According to the statement, the scheme covers petrol supplied by the Nigerian National Petroleum Company Limited (NNPC), with public transport operators identified as priority beneficiaries.
PETROAN described the intervention as timely, noting that transportation costs significantly influence the prices of food, agricultural produce, manufactured goods and other essential commodities.
The association maintained that its extensive retail network, which spans virtually all local government areas, towns, villages and communities in Nigeria, places it in a strategic position to facilitate the effective distribution of the discounted petrol.
It stressed that some of its outlets operate in remote and underserved locations where NNPC retail outlets are unavailable, giving the association the capacity to extend the benefits of government interventions beyond major cities and commercial centres.
PETROAN argued that allocating 30 per cent of the discounted petrol to its network would promote wider national coverage and ensure that consumers in rural communities also benefit from the scheme.
The association added that leveraging its existing retail infrastructure for CNG deployment could accelerate access to cleaner and more affordable alternative fuel, encourage adoption and advance the Federal Government’s broader energy-transition and economic objectives.
Expected Economic Benefits
Explaining the potential benefits of the policy, PETROAN said reducing petrol costs for public transport operators could translate into lower transportation fares, leaving commuters and households with more disposable income.
It noted that the intervention could also reduce the cost of transporting agricultural produce from rural communities to urban markets, potentially moderating food prices and the cost of other essential commodities.
According to the association, lower transportation and logistics expenses could support farmers, traders, small businesses, manufacturers and other productive sectors that depend heavily on road transportation.
It added that reduced operating costs could help businesses sustain their operations, protect jobs and improve productivity.
PETROAN further expressed optimism that the policy could help ease inflationary pressures by reducing the transportation component of the prices of goods and services.
The association, however, emphasised that the extent of these benefits would depend on how effectively the savings were transmitted across the supply chain to businesses and final consumers.
PETROAN President Calls for Transparency
Speaking on the development, PETROAN National President, Dr Billy Gillis-Harry, commended the Federal Government for recognising the strategic importance of transportation to the Nigerian economy.
Gillis-Harry explained that the intervention could generate benefits beyond the transport sector, noting that lower petrol costs could enable transport operators to offer more affordable fares, help traders move goods more cheaply, improve farmers’ access to markets and reduce business logistics expenses.
He nevertheless urged the Federal Government to ensure transparent and efficient implementation of the scheme.
He called for clear guidelines specifying the discount per litre, eligible beneficiaries, monitoring mechanisms and distribution channels to ensure that the intervention achieves its intended objectives.
The PETROAN president stressed that the success of the programme should not be measured solely by the volume of petrol sold at discounted prices.
Rather, he said, its effectiveness should be assessed by its actual impact on transportation fares, food prices, business operating costs and household purchasing power.
Call for Stakeholder Collaboration
PETROAN called on the NNPC, transport operators, petroleum marketers, relevant government agencies and other stakeholders to cooperate in ensuring that the initiative delivers meaningful economic relief to Nigerians.
The association also urged the Federal Government to evaluate the outcome of the 30-day programme and consider additional measures to sustain its benefits if it produces measurable reductions in transportation costs and inflationary pressures.
Reiterating its commitment to supporting policies that promote affordable petroleum products, lower logistics costs, economic stability and sustainable business activity, PETROAN said its nationwide retail network could play a significant role in ensuring that government interventions reach Nigerians across both urban and rural communities.
The association maintained that effective use of existing retail infrastructure would not only widen the reach of the petrol discount scheme but also provide a practical platform for accelerating the nationwide adoption of CNG as an alternative fuel
PETROAN therefore called on NNPC, transport operators, petroleum marketers, relevant government agencies and other stakeholders to cooperate fully to ensure that the intervention achieves its intended objectives.
The association also urged the Federal Government to carefully assess the outcome of the 30-day programme and consider further measures that could sustain the economic benefits if the intervention produces measurable reductions in transportation costs and inflationary pressures.
PETROAN reiterated its commitment to supporting policies that promote affordable petroleum products, lower logistics costs, economic stability, sustainable business activity and improved living standards for Nigerians.
