Energy economists have called for targeted cash transfers to cushion the impact of rising fuel prices on vulnerable Nigerians, as tensions between the United States and Iran continue to unsettle global oil markets.
The call was made on Sunday ahead of the 19th annual international conference of the Nigerian Association for Energy Economics, scheduled to hold in Lagos from April 26 to 29, 2026, where stakeholders are expected to deliberate on the implications of global energy shocks on African economies.
A former president of the association, Professor Adeola Adenikinju, said the current situation presents a “two-edged sword” for Nigeria, with potential revenue gains from higher oil prices on one hand and worsening economic hardship for citizens on the other.
According to him, rising petrol costs have triggered increases in transportation fares and inflation, placing additional pressure on low-income households.
“This is the time that Nigeria should say, ‘Look, we are sending some cash to those poor people who are vulnerable,” he said, stressing the need for direct intervention to support the most affected.
He, however, noted that the absence of a reliable database of vulnerable Nigerians remains a major constraint to implementing effective cash transfer programmes.
“If we have the data of all the poor people, this is the time that Nigeria should send some cash to those who are vulnerable, but we don’t have the data,” he added.
Adenikinju said while recent moves to increase allowances for civil servants may provide limited relief, such measures would exclude a large segment of Nigerians working in the private and informal sectors. He therefore urged both federal and state governments to collaborate in designing broader support mechanisms.
Beyond immediate relief, the economist emphasised the need for structural reforms that would strengthen social protection systems and improve the country’s capacity to respond to external shocks.
The conference, themed ‘Evolution of Energy Mix in Africa: The Role of Technology, Economics and Public Policy’, will bring together policymakers, regulators, industry leaders, investors, academics and development partners from across Africa and beyond.
The president of the association, Hassan Mahmud, said the event comes at a critical time when Africa faces the challenge of balancing energy security, affordability and sustainability amid a global transition to cleaner energy.
He noted that the discussions would focus on how emerging technologies such as renewable energy, energy storage and digital systems can shape the continent’s future energy landscape, as well as how economic frameworks and public policies can attract investment and support industrialisation.
Mahmud also highlighted concerns that Africa, despite contributing less than four per cent of global carbon emissions, faces increasing pressure to decarbonise without adequate financing or technological support.
According to him, the conference aims to reposition the energy transition as an opportunity for growth, job creation and poverty reduction, rather than a constraint on development.
Participants are expected to engage in high-level plenary sessions, technical discussions on energy markets and policy reforms, as well as industry showcases highlighting innovation across the energy value chain.
The event will also feature strategic dialogues aimed at producing actionable policy recommendations for governments and institutions across the continent.
Mahmud said the conference would serve as a platform to generate evidence-based insights and foster collaboration among stakeholders, with outcomes expected to influence policy direction and investment decisions in the energy sector.
He added that delegates would undertake a technical visit to the 650,000 barrels-per-day Dangote refinery, described as the largest single-train refinery in the world, to gain first-hand insight into Nigeria’s refining capacity and its role in enhancing energy security in West Africa.
Stakeholders at the conference are also expected to examine how Africa can leverage its vast hydrocarbon resources alongside renewable energy potential to drive a pragmatic and inclusive energy transition.
Those expected at the conference include billionaire businessman and Chairman of Heirs Energies, Tony Elumelu; the Chief Executive of the Dangote Group, David Bird; a former minister of power, Barth Nnaji; energy regulators and others.
The association called on members of the media, private sector players and development institutions to actively participate in the discussions and amplify outcomes that would shape Africa’s energy future.
Adding to the policy debate, another former president of the association, Prof. Yinka Omorogbe, stressed the need for a fundamental shift in Nigeria’s energy strategy, particularly towards developing the downstream sector.
She said Nigeria’s overreliance on crude oil exports limits job creation, describing the upstream sector as an enclave industry with minimal employment impact.
“When you now open up the downstream and really make it functional and viable, you have industries throwing in hundreds of thousands of jobs into Nigeria,” she said.
Omorogbe emphasised that strengthening domestic refining and downstream operations would not only reduce dependence on imports but also create productive employment opportunities for Nigerians.
She added that supporting local refining capacity is critical to economic stability, warning that without it, Nigerians would face even higher energy costs.
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