FG Suspends Planned 15% Import Duty on Petrol, Diesel

THE Federal Government has suspended the planned implementation of a 15 per cent import duty on petrol and diesel, earlier approved by President Bola Tinubu on 29 October 2025.

This was confirmed on Thursday in a statement issued by the Director of Public Affairs at the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), Mr George Ene-Ita, who urged the public to avoid panic buying.

President Tinubu’s earlier approval had followed a proposal by the Executive Chairman of the Federal Inland Revenue Service (FIRS), Mr Zacch Adedeji, which recommended the application of a 15 per cent duty on the cost, insurance, and freight (CIF) value of imported petrol and diesel. The measure was designed to align import costs with domestic market realities and to encourage the growth of local refineries such as the Dangote Refinery and other modular plants by making imported fuel more expensive.

Implementation of the policy had been scheduled for 21 November 2025 and was expected to raise the landing cost of imported fuel. Experts had warned, however, that the move could lead to higher pump prices—potentially by as much as ₦150 per litre—and drive inflation and transportation costs upwards.

In its latest update, the NMDPRA clarified that the government was no longer proceeding with the proposed tariff.

“It should be noted that the implementation of the 15% ad valorem import duty on imported Premium Motor Spirit(PMS) and Automotive Gas Oil (AGO) is no longer in view,” the statement read in part.

The Authority further assured Nigerians that there was sufficient supply of petroleum products across the country, within the acceptable national sufficiency threshold, to meet current demand.

“There is a robust domestic supply of petroleum products (AGO, PMS, LPG, etc.), sourced from both local refineries and importation, to ensure timely replenishment of stocks at storage depots and retail stations during this period,” it stated.

The NMDPRA also cautioned against hoarding, panic buying, or arbitrary price increases, adding that it would continue to monitor the market and take necessary regulatory measures to prevent disruptions in supply and distribution, especially during the high-demand period.

The Authority expressed appreciation to all stakeholders in the midstream and downstream sectors for their continued cooperation and reiterated its commitment to ensuring energy security and stable fuel availability nationwide.