Dada Olusegun, Special Assistant to President Bola Tinubu on Social Media, has rebuked Peter Obi over his comments on Nigeria’s rising petrol prices.
Olusegun made the remarks in a post on X on Saturday, responding to a statement by Obi published on Thursday, in which the former Anambra State governor blamed Nigeria’s vulnerability to global oil price shocks on the absence of a strategic petroleum reserve and a lack of government planning.
Olusegun told Obi to stop commenting on issues he does not understand, describing the former governor’s remarks on rising fuel prices as wrong and embarrassing.
He wrote, “Allow me to educate you and save you from the continuous ignorance you dwell in in regards to critical matters. The recent rise in fuel prices in Nigeria is not primarily because the country lacks a strategic petroleum reserve.
“The more immediate factor is that the fuel market is now largely deregulated following the subsidy removal by the administration of Bola Ahmed Tinubu. In a deregulated system, petrol prices respond directly to global oil prices, exchange rates, shipping costs, and supply risks.
“So when geopolitical tensions involving Iran push global oil prices upward, countries that rely heavily on imported refined products like Nigeria will inevitably feel the effect at the pump.
“That is simply how an open market behaves. It is also not accurate to suggest that strategic petroleum reserves are tools used to control everyday pump prices. Even countries with very large reserves, such as the United States and China, maintain them primarily for serious supply emergencies, wars, embargoes, or major disruptions to global supply chains.
“They are not routinely deployed simply because prices move in the global market. Nigeria’s real challenge has always been deeper and more structural. For decades, the country has struggled with limited refining capacity and a heavy dependence on imported refined products, despite being one of the world’s major crude oil producers.
‘That structural imbalance, combined with exchange rate pressures has consistently made the country vulnerable to global price movements. So yes, planning matters. But reducing the entire issue to “Nigeria failed to plan because it does not have a strategic reserve” completely misses the broader reality.
“Real planning would involve expanding domestic refining capacity, strengthening supply chains, stabilizing the foreign exchange environment, and maintaining consistent energy policies. It is worth reminding you that during your presidential campaign, you clearly stated that you would remove fuel subsidy if elected.
“So the same policy framework that now allows prices to reflect market realities is one you publicly supported. More importantly, this is where it becomes clear that the issue is not just the argument but the understanding behind it.
“When someone who once held the office of governor begins to make such sweeping conclusions about a complex global energy market, it is frankly embarrassing. A former governor should know better than to reduce a multi-layered economic issue to a simplistic talking point.
“Sometimes the wiser thing to do is simply sit a conversation out when one does not fully understand how the system works rather than jumping at every opportunity to malign Nigeria as this has been your M.O(Modus Operandi). It would save both the country and the speaker from unnecessary embarrassment.”
Obi had on Thursday criticised rising prices of Premium Motor Spirit (PMS) or petrol across the country, saying rapid increases illustrate how quickly external shocks can affect the Nigerian economy.
When Countries Fail to Plan
Many people wonder why any adverse development in the global economy quickly impacts Nigeria. A recent example is the tension involving Iran, which led to an increase in global oil prices and, subsequently, a rise in petroleum prices in Nigeria.
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The back-and-forth bickering between both parties comes as crude oil and petrol prices rise globally, as a result of tensions in the Mideast.
Oil prices stayed over $100 per barrel on Friday with no end in sight to the disruption in supplies of crude, while stock markets slid lower.
With the conflict heading towards its third week, equity markets fell further amid investor worries about an extended crisis that could fan inflation and hammer the global economy.
The price of Brent crude, the benchmark international oil contract, dipped below $100 during the day, sending equities briefly higher.
But stocks slid back into the red as Brent climbed back above the $100 mark.
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