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Volume 2 - Issue 5, September - October 2026

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Volume 2 - Issue 5, September - October 2026


πŸ“‘ Paper Information
πŸ“‘ Paper Title The Energy Transport Poverty Nexus in Urban Nigeria: Co Deprivation, Spillover Effects and Welfare Implications of Post Fuel Subsidy Removal
πŸ‘€ Authors Abubakar Zakariyya Al-Hasan, Al-Hasan, Fatimetu Olohigbe, Abu Aminu, Nurudeen Oseni
πŸ“˜ Published Issue Volume 2 Issue 5
πŸ“… Year of Publication 2026
πŸ†” Unique Identification Number IJAMRED-V2I5P28
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πŸ“ Abstract
The abrupt removal of Nigeria's petrol subsidy in May 2023, which raised the pump price from ₦184 to over ₦617 per litre overnight, constituted the most consequential single event energy price shock experienced by urban Nigerian households in the post-independence period. Yet the welfare analysis of this shock has proceeded almost entirely within the energy domain, neglecting its simultaneous character as a transport price shock that cascades through urban labour market access, food procurement costs, and healthcare utilisation, generating co deprivation dynamics that neither energy poverty nor transport poverty frameworks can individually recover. This study constructs and applies the first Multidimensional Energy Transport Poverty Index (METPI) for Nigerian urban households, integrating the Alkire-Foster (AF) counting methodology across seven energy and transport dimensions, to quantify the incidence, intensity, and welfare correlates of energy transport co deprivation before and after the May 2023 shock. Primary data were collected from 1,247 urban households across five cities, Lagos, Kano, Ibadan, Port Harcourt, and Benin City, in September to November 2023, with the Nigeria Demographic and Health Survey (NDHS) 2021 providing the pre shock baseline. METPI results document a 14.7 percentage point increase in co deprivation rates (from 29.4% pre shock to 44.1% post shock), substantially exceeding the sum of independent energy (11.4 pp) and transport (20.5 pp) poverty incidence changes, providing the first empirical evidence of a co deprivation amplification effect in the urban Nigerian context. Heteroscedasticity corrected Tobit regression of monthly household consumption expenditure on energy and transport poverty scores reveals a statistically significant synergy penalty: households in both energy and transport poverty experience an additional monthly welfare loss of ₦4,218 beyond the additive losses of energy poor (₦8,412) and transport poor (₦6,847) households, representing a 25.2% amplification above additive expectation. Welfare decomposition using Foster-Greer-Thorbecke poverty measures reveals that the transport expenditure shock contributes 28.7% and the energy expenditure shock 34.2% of the total poverty gap increase, with a co deprivation spillover term explaining an additional 14.8%. The study provides a unified methodological framework for energy transport poverty joint analysis, directly relevant to ongoing social protection design under Nigeria's Renewed Hope Agenda and to the broader literature on multidimensional welfare impacts of fossil fuel subsidy reform.
πŸ“ How to Cite
Abubakar Zakariyya Al-Hasan, Al-Hasan, Fatimetu Olohigbe, Abu Aminu, Nurudeen Oseni,"The Energy Transport Poverty Nexus in Urban Nigeria: Co Deprivation, Spillover Effects and Welfare Implications of Post Fuel Subsidy Removal" International Journal of Advanced Multidisciplinary Research and Educational Development, V2(5): Page(224-234) September - October 2026. ISSN: 3107-6513. www.ijamred.com. Published by Scientific and Academic Research Publishing.