Nigerians Convert Private Cars into Commercial Vehicles Amid Rising Hardship

In the wake of the removal of fuel subsidies and a significant increase in the price of Premium Motor Spirit (petrol), private car owners in Nigeria are increasingly converting their vehicles for commercial use to help offset rising fuel costs.

According to findings from NIGERIA NEWS 247, the Nigerian National Petroleum Company Limited (NNPCL) has raised the price of petrol from N897 to N1,030 per litre, worsening the country’s already challenging economic landscape. Experts warn that this hike could push more citizens into poverty and exacerbate the ongoing cost-of-living crisis.

Fuel prices nationwide have surged dramatically, with an average increase of 174.6 percent due to these recent changes. This has placed additional strain on consumers, as the removal of fuel subsidies and currency depreciation have led to further price hikes for goods and services.

Data from the National Bureau of Statistics indicates that Nigerians are feeling the impact of accelerating inflation, with the inflation rate reaching 22.41 percent in May, significantly outpacing wage growth. Fuel and transportation were noted as the second and fourth largest contributors to inflation growth, respectively.

The report revealed that food and non-alcoholic beverages accounted for the most significant acceleration in headline inflation (11.61 percent), followed by housing, water, electricity, gas, and other fuels (3.75 percent), clothing and footwear (1.71 percent), and transportation (1.46 percent).

As inflation skyrockets to 33.95 percent, food prices have surged, causing widespread hardship for families on fixed incomes. Many are struggling to afford basic necessities, with reports indicating that rice prices have exceeded N100,000 per bag.

Both citizens and economists are urging the government to implement measures to alleviate the financial burden on households, as concerns grow over the rising prices of eggs and various types of meat, particularly livestock.

To mitigate the effects of the petrol price increase, some private car owners have begun operating as part-time cab drivers, offering transportation services along their daily routes. This adjustment helps them recoup a portion of their daily fuel expenses.

Speaking to NIGERIA NEWS 247, Akinolu Olu, who commutes from Lugbe to his job in Utako, Abuja, shared that he now charges his neighbors for transportation to and from work—a practice he started following the fuel subsidy removal. “Before the fuel subsidy removal, I used to transport four of my neighbors without charging them. However, since the price increased, I now charge N700 per person for each trip,” Olu explained.