The Nigerian Presidency has justified the recently approved 15 percent import duty on petrol and diesel as a critical measure to protect local refineries and stabilize the domestic fuel market. The policy, signed off by President Bola Tinubu on October 21st, 2025, aims to reduce Nigeria’s longstanding dependence on imported fuel despite being a leading crude oil producer.
In a statement, the Special Adviser to the President on Media and Public Communications, Sunday Dare, described the import duty as “a bridge, not a burden,” designed to spur local refining capacity, strengthen the naira-based oil economy, and ensure energy self-sufficiency for Nigeria. The duty is calculated on the cost, insurance, and freight (CIF) value of imported fuel, which could see pump prices rise by about 99 naira per liter.
Nigeria’s energy sector has faced challenges from cheaper imported fuels undercutting domestic refining investments, including the Dangote refinery—the continent’s largest, capable of processing 650,000 barrels daily. The government stated the tariff will incentivize local production, secure multi-billion-dollar refinery investments, and ultimately transform the fuel supply landscape for national prosperity.
While critics warn that the import duty might lead to higher fuel prices for consumers, the administration insists the policy is vital to foster economic stability, create jobs, boost domestic industries, and end the outflow of foreign exchange caused by excessive fuel imports. This move aligns with the government’s broader Renewed Hope Agenda for sustainable energy and fiscal resilience.
The Federal Inland Revenue Service (FIRS) and the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) have been directed to implement the tariff immediately, marking a significant shift in Nigeria’s petroleum import framework.
