The Centre for the Promotion of Private Enterprise (CPPE) has called on the Federal Government to reinstate the suspended 15% fuel import duty immediately.
It warned that its removal threatens Nigeria’s refining sector, undermines investor confidence, and jeopardizes the country’s long-term economic and energy security objectives.
In a statement signed by its CEO, Dr. Muda Yusuf, on Sunday, the CPPE warned that the suspension of the duty has tilted the playing field in favour of imported petroleum products, placing domestic refineries, especially the Dangote Refinery and emerging modular plants, at a significant competitive disadvantage.
The CPPE said, “Reinstatement is essential to restoring competitive balance and safeguarding domestic refining investments.”
The group further said, “Protecting domestic refining capacity is an urgent national imperative. Reinstating protective measures, supporting local refiners, ensuring policy predictability, and regulating import volumes are essential steps toward securing Nigeria’s industrial future.
“The Dangote Refinery and emerging modular refineries are transformative national assets. Safeguarding them aligns squarely with Nigeria’s long-term economic and strategic goals,” the statement added.
Last week, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) announced the suspension of the proposed 15 per cent ad-valorem import duty on Premium Motor Spirit (PMS) and Automotive Gas Oil (AGO), commonly known as petrol and diesel.
The Authority made this known in a statement reassuring Nigerians that there is sufficient supply of petroleum products across the country despite the rising demand during the current peak season.
“It should 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 regulator stated.
On October 21, President Bola Tinubu approved a 15 percent ad-valorem import duty on diesel and petrol.
The approval was contained in a letter where Damilotun Aderemi, the Private Secretary to the President, conveyed the directive to the Federal Inland Revenue Service (FIRS) and the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).
This was a move oil marketers have described as very challenging and would lead to an increase in the price of petroleum products.
Naijaonpoint reported that Dangote Petroleum Refinery has thrown its weight behind the federal government’s decision to impose a 15% ad-valorem import duty on petrol and diesel, describing it as a necessary measure to protect local refiners and curb the dumping of imported products.
The refinery said it currently has sufficient capacity to meet national demand, stating that it is loading about 45 million litres of petrol and 25 million litres of diesel daily, while working with regulatory agencies to ensure nationwide distribution.