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No Return to Fuel Subsidy, FG Insists Amid Rising Hardship

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Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele

The Federal Government on Tuesday ruled out any plan to reinstate fuel subsidy despite worsening economic hardship and mounting public pressure.

The Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, stated this in Paris, France, during a meeting with global investors alongside President Bola Tinubu.

Oyedele said the government would also not introduce price controls, stressing that market forces remain the preferred mechanism for determining petrol prices.

“We will not bring back fuel subsidy because it creates distortions for the economy, and we won’t introduce price control because we believe in the market,” he said.

The minister argued that the subsidy regime had long undermined economic efficiency, adding that emerging global energy shifts, including developments in Iran, present fresh investment opportunities for Nigeria.

The removal of petrol subsidy in May 2023 triggered a steep rise in inflation, worsening the country’s cost-of-living crisis.

Nigeria’s headline inflation climbed from 22.41 per cent in May 2023 to 34.19 per cent by June 2024 — its highest level in nearly two decades — driven by surging fuel, food, and transportation costs.
Food inflation further accelerated, exceeding 39 per cent by October 2024, while transport fares soared by nearly 300 per cent, compounded by currency devaluation.

Despite the economic strain, Tinubu defended the policy, saying it had stabilised the foreign exchange market.

“Subsidy that was a burden to the entire country was removed, and ever since we have achieved FX stability,” the President said, according to his Special Assistant on Social Media, Dada Olusegun.

In a related statement, the President’s Special Adviser on Information and Strategy, Bayo Onanuga, said the administration’s reforms were aimed at eliminating structural distortions, strengthening macroeconomic stability, and laying the foundation for inclusive growth.

He added that the government remained committed to fiscal discipline and transparency.

Highlighting economic progress, Oyedele disclosed that Nigeria recorded an 11.2 per cent growth in Gross Domestic Product in dollar terms in 2025, describing it as a major step towards the country’s ambition of building a $1tn economy by 2030.

He also pledged that the government would begin publishing quarterly financial reports to enhance accountability and public trust.

Also speaking, the Director-General of the Debt Management Office, Patience Oniha, assured investors of Nigeria’s commitment to prudent borrowing and sustainable debt management.

The Federal Government has continued to defend its reform agenda despite growing public discontent, insisting that the long-term gains will outweigh the current economic pains.

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FG adds 208MW to national grid, upgrades Ijora, Apapa substations

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The Federal Government has commissioned upgraded transmission substations at Ijora and Apapa Road in Lagos, adding a combined 208 megawatts of bulk transmission capacity to the national grid.

The projects, inaugurated by the Minister of Power, Joseph Tegbe, are expected to boost electricity supply to major industrial, commercial and residential areas across Lagos.

At the Ijora 132/33kV transmission substation, two new 100MVA transformers have raised the installed capacity from 90MVA to 230MVA, providing an additional 112MW of bulk transmission capacity.

The upgrade is expected to improve power supply to Ijora, Costain, Oyingbo, Customs and adjoining communities within the franchise area of the Eko Electricity Distribution Company.

At the Apapa Road transmission substation, two new 60MVA transformers and modern Gas Insulated Switchgear were installed and energised, increasing the facility’s capacity from 60MVA to 180MVA and adding another 96MW to the transmission network.

The Apapa project is considered particularly important because the area hosts major ports, maritime businesses, logistics companies, warehouses and manufacturing industries. The additional capacity is expected to increase the bulk electricity available to EKEDC for distribution to Apapa Causeway, Ijora, Amukoko, Ajegunle, Apapa Wharf, Tin Can Island and surrounding communities.

Speaking at the commissioning, Tegbe said the projects were part of the Federal Government’s efforts to tackle structural challenges in the nation’s electricity sector.

He said expanding transmission capacity was essential to ensuring that electricity generated was effectively delivered to areas where demand was highest.

According to him, rapid population growth, industrial expansion and increased commercial activities had put considerable pressure on existing power infrastructure, resulting in suppressed load and constrained electricity supply.

Tegbe said reliable electricity remained central to Nigeria’s economic transformation, adding that the administration’s ambition of building a $1tn economy could not be achieved without adequate and dependable power supply.

The Managing Director and Chief Executive Officer of the Transmission Company of Nigeria, Sule Ahmed Abdulaziz, described the projects as a significant investment in strengthening the country’s transmission network. He said the Apapa project was supported by the Japan International Cooperation Agency, while the Ijora intervention received support from the World Bank in partnership with TCN.

Abdulaziz called for similar interventions to rehabilitate and upgrade other critical sections of the national transmission network. He said continued investment in the network was necessary to ensure that improvements in power generation translated into better supply for homes and businesses.

The Federal Government said the additional 208MW would improve grid stability and strengthen electricity supply to some of Lagos’ most important commercial and industrial corridors, with the projects expected to support businesses and communities that depend heavily on reliable power.

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Nasarawa, firm sign $2m lithium deal

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Nasarawa State Governor, Abdullahi Sule, on Friday presided over the signing of a $2m supplementary lithium agreement between the state government and Diamond New Energy.

The agreement, signed at the Nasarawa State Governor’s Lodge in Abuja, followed Sule’s recent visit to China and is aimed at securing raw materials for the company’s lithium processing operations in the state.

Speaking at the ceremony, Sule said the agreement would protect the interests of both the state and the company while ensuring that the factory remained operational and workers retained their jobs.

He said, “By keeping your factory operational, we ensure that you continue to get raw material. That is the essence of this agreement.”

The governor added that the state’s decision to secure the necessary licence was also intended to protect its interests in the mining operations.

“We are going to keep your factory functional, and we also have an interest as licence owners in whatever you are doing in your company. More importantly, the people you have employed will remain employed,” Sule said.

The governor urged Diamond New Energy to maintain a peaceful relationship with its host communities and contribute to their development, stressing that the cooperation of the communities was important to the success of the investment.

He further disclosed that payments due to the state under the agreement would be made directly to Nasarawa Mining Company Limited in foreign currency, with the terms subject to periodic review.

Earlier, the Commissioner for Environment and Natural Resources, Margaret Elayo, commended the investors for their commitment to Nasarawa State.

Elayo expressed optimism that the partnership would encourage more investors to consider the state as a destination for mineral development and other investments.

The Managing Director and Chief Executive Officer of the Nasarawa State Investment Development Agency, Ibrahim Abdullahi, said the latest agreement was an extension of the exclusive mining cooperation agreement signed between the state government and the company in 2024.

According to him, the earlier agreement contributed to the completion of what he described as the largest lithium processing refinery in West Africa.

He said the supplementary agreement would further strengthen investor confidence and allow the continued supply of lithium materials from the state government’s mining block to the refinery.

Abdullahi said the arrangement would also create more employment opportunities for youths and women in the state.

“This supplementary agreement gives credence to these issues. It further gives confidence to the investor to do even more within Nasarawa State,” he said.

He added that the agreement would provide an immediate financial benefit to the state, with Nasarawa expected to receive $2m upon signing, while further revenues would accrue according to the terms of the agreement.

A representative of Diamond New Energy, David Siong, said the company remained committed to deepening its operations in Nasarawa State through local processing of mineral resources, job creation and economic development.

Siong said the company believed in the further development and deep processing of Nasarawa’s mineral resources, adding that it looked forward to continued support from the state government.

Also at the ceremony, the Attorney-General and Commissioner for Justice, Isaac Danladi, presented copies of the deed of assignment between Nasarawa Mining Company Limited and Ganfeng Lithium Industry Limited.

Danladi explained that the deed transferred the mining rights and interests of Nasarawa Mining Company within 3.5 mining cadastral units located at Endo, Nasarawa Local Government Area, to Ganfeng Lithium Industry Limited.

He said the transfer followed a review of the terms by the parties involved.

The signing ceremony was witnessed by officials of the state Ministry of Justice, Ministry of Environment and Natural Resources, NASIDA, Diamond New Energy and Ganfeng Lithium Industry Limited.

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ICPC Recommends Prosecution of Alleged Fake Agency DG, Submits Report to Tinubu

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The Independent Corrupt Practices and Other Related Offences Commission has submitted an interim report to President Bola Tinubu on its investigation into the alleged fictitious Presidential Foreign Investment Promotion Council, recommending the prosecution of its alleged Director-General, Adeniyi Adeyemi.

ICPC Chairman, Musa Aliyu, disclosed this on Thursday after a meeting with the President at the Presidential Villa, Abuja, exactly 30 days after Tinubu directed the anti-graft agency to investigate the activities of the council.

Aliyu said preliminary findings showed that Adeyemi was never appointed by the Federal Government, adding that the appointment letter, gazette and other documents used to present the council as a government agency were forged.

According to him, the investigation also uncovered lapses in government verification and oversight mechanisms, which were allegedly exploited to create the impression that the PFIPC was a legitimate agency.

“Our interim report found weaknesses in verification, inter-agency oversight and government processes. Those weaknesses were exploited by Adeniyi, with some level of negligence,” Aliyu said.

He added that the commission found no evidence that any Federal Government funds were approved or released to the purported PFIPC or its related entity.

The ICPC chairman further disclosed that investigators uncovered two other agencies allegedly floated by Adeyemi — the FCT Investment Promotion Agency and the Foreign Investment Promotion Agency and Public Private Partnership. He alleged that forged legislative instruments presented as enabling laws were used to facilitate the opening of bank accounts for the organisations.

Aliyu said the commission had recommended Adeyemi’s prosecution and called for administrative sanctions against public officers whose negligence allegedly allowed the fake agency to operate. He also urged the Federal Government to strengthen internal control systems across Ministries, Departments and Agencies to prevent similar incidents.

He, however, stressed that the report submitted to the President was only an interim one, noting that investigations were ongoing to identify other collaborators and build a stronger criminal case capable of withstanding judicial scrutiny.

The PFIPC controversy came to public attention after the Presidency disowned the council, insisting it was never established by the Federal Government despite appearing in the 2026 Appropriation Act with a budget allocation of ₦1.3bn. The Federal Government has since filed criminal charges against Adeyemi over alleged forgery, impersonation and fraudulent misrepresentation, while separate investigations by the House of Representatives and the ICPC are continuing into how the purported agency operated within government institutions.

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