FG Shelves Planned 15% Duty On Imported Petrol, Diesel

The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has announced that the Federal Government is no longer considering the implementation of the proposed 15 per cent import duty on petrol and diesel.

The development was disclosed in a statement issued on Thursday by the Director of Public Affairs, George Ene-Ita, who also cautioned Nigerians against panic buying of petroleum products.

On October 29, President Bola Tinubu had approved the introduction of a 15 per cent tariff on imported petrol and diesel, a move expected to raise the landing cost of fuel brought into the country.

The approval followed a proposal by the Executive Chairman of the Federal Inland Revenue Service (FIRS), Zacch Adedeji.
The proposal sought the application of the duty on the cost, insurance, and freight (CIF) value of imported fuel to align import costs with domestic realities.

Implementation was initially scheduled for November 21, 2025.

The planned tariff was intended to protect local refineries, including the Dangote Refinery and modular plants, by discouraging cheap imports and encouraging domestic production.

While the policy sought to strengthen local refining capacity, experts had warned that it could lead to higher pump prices, inflationary pressure, and increased transportation costs. Some analysts projected that petrol could rise by over ₦150 per litre if the duty were implemented.

Providing an update, the NMDPRA said the Federal Government was no longer moving forward with the tariff.

“It should also be noted that the implementation of the 15% ad-valorem import duty on imported Premium Motor Spirit and Diesel is no longer in view,” the statement said.

The Authority also assured Nigerians that the country currently has sufficient petroleum products within the national stock threshold despite the peak demand period.

“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,” the statement added.

The NMDPRA advised marketers and consumers to avoid hoarding or artificially inflating prices, warning that regulatory action would be taken where necessary.

“The Authority wishes to advise against any hoarding, panic buying or non-market reflective escalation of prices of petroleum products,” the statement read.

It further assured Nigerians of its commitment to ensuring uninterrupted distribution and national energy security.

“The Authority will continue to closely monitor the supply situation and take appropriate regulatory measures to prevent disruption of supply and distribution of petroleum products across the country,” it added.

Stakeholders in the midstream and downstream sectors were also commended for their role in maintaining stability in the market.