Just in: FG orders suspension of 15% import duty on imported PMS
The federal government has ordered the suspension of the planned 15% import duty on imported Premium Motor Spirit (PMS) otherwise known as petrol and Diesel.
The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), Director, Public Affairs Department, George Ene-Ita, made this known in a statement on Thursday.
Ene-Ita said; “It should also be noted that the implementation of the 15 per cent ad-valorem import duty on imported Premium Motor Spirit and Diesel is no longer in view.”
NMDPRA also assured all that there is an adequate supply of petroleum products in the country, within the acceptable national sufficiency threshold, during this peak demand period, reports Punch.
“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 Authority wishes to use this opportunity to advise against any hoarding, panic buying or non-market reflective escalation of prices of petroleum products.
“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, especially during this peak demand period.
“While appreciating the continued efforts of all stakeholders in the midstream and downstream value chain in ensuring a smooth and uninterrupted supply and distribution, the public is hereby assured of NMDPRA’s commitment to guarantee energy security,” the statement read.
On October 30, it was reported that Tinubu approved a 15% import duty on petrol and diesel, following a proposal by the Federal Inland Revenue Service (FIRS).
The new tariff was meant to align import costs with local realities and encourage domestic refining.
According to reports, the move could add nearly N1trillion annually to Nigeria’s petrol import bill.
But the presidency explained that the tariff was introduced to stabilise prices, discourage duty-free imports that undercut local refiners, and promote investment in the country’s refining sector.
Under the new policy, payments are to be made into a designated Federal Government account managed by the FIRS, while the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) oversees compliance.
Officials also directed that future fuel import licences should prioritise local production before approving foreign supply. Customs and NMDPRA were told to update import templates and enforce digital verification for all shipments.
While the government insists the measure is not about raising revenue but about strengthening local production and achieving fuel self-sufficiency, stakeholders remain worried. Many argue that Nigeria still lacks enough refining capacity to sustain the policy without worsening fuel scarcity or prices.
Experts warn that until local refining meets demand, the tariff could push petrol prices beyond N1,000 per litres, especially if the naira weakens or international freight costs rise.
