President Tinubu Approves 15% Import Duty On Petrol, Diesel
When fuel prices rise in Nigeria, the ripple effects hit everything, from the cost of food to transport fares and factory production.
With President Bola Tinubu’s approval of a 15 per cent import duty on petrol and diesel, Nigerians are once again bracing for an economic shockwave that could test both pockets and patience.
President Tinubu has approved a 15 per cent ad-valorem import duty on petrol (PMS) and diesel, following a joint request by the Federal Inland Revenue Service (FIRS) and the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).
The duty, to be charged on the cost, insurance, and freight (CIF) value of imported fuel, is expected to take immediate effect once implementation systems are in place.
According to the approval letter dated 21 October 2025, the measure is designed to “reinforce national energy security”, “protect local refining capacity”, and “align import costs with domestic realities”.
The policy is widely seen as a strategic push to strengthen homegrown refineries such as the Dangote Refinery, which are expected to benefit from reduced competition from imports.
Economists, however, warn that the decision could lead to higher pump prices, with estimates suggesting an increase of about ₦99.72 per litre of petrol.
Importers are likely to pass on the added cost to consumers, deepening existing inflationary pressures in a country already grappling with high living costs.
While the government argues that the new duty will boost non-oil revenue and conserve foreign exchange spent on fuel imports, concerns persist over its timing and possible social impact.
Many Nigerians fear that without improvements in local refining and distribution infrastructure, the policy could worsen the cost-of-living crisis rather than ease it.
President Tinubu’s move signals a decisive shift in Nigeria’s fuel policy, one that favours local production over dependence on imports.
Yet, as the new levy takes hold, questions linger on whether the benefits will outweigh the burdens for millions of struggling citizens.
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