Fuel prices in Nigeria are projected to rise by as much as ₦150 per litre following President Bola Tinubu’s approval of a 15 per cent import tariff on petrol and diesel, a policy aimed at protecting local refineries and stabilising the downstream petroleum market.
According to an official document seen by ADBN TV, the tariff will apply immediately to all imported Premium Motor Spirit (PMS) and Automotive Gas Oil (diesel), with payments directed into a designated Federal Government revenue account verified by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).
The policy, which aligns with the Renewed Hope Agenda, is designed to strengthen domestic refining, ensure energy security, and curb unfair pricing practices between importers and local producers.
Although initial projections indicated that the impact might not exceed ₦100 per litre, estimates suggest pump prices in Lagos could now reach about ₦964.72 per litre, still below regional averages in countries such as Senegal ($1.76), Côte d’Ivoire ($1.52), and Ghana ($1.37).
Officials described the tariff as a corrective measure rather than a revenue drive, intended to align import parity pricing with local cost recovery, protect investment in Nigeria’s emerging refining sector, and encourage competition without undermining affordability.
The new directive empowers the NMDPRA and the Nigeria Customs Service to enforce the import duty under Sections 71 and 72 of the Petroleum Industry Act (PIA), which allow for public service obligations to safeguard national economic interests.
Implementation will include digital verification systems to ensure transparency and compliance, while Customs and the NMDPRA update import templates and enforce clearance conditions tied to proof of tariff payment.
Despite government assurances, the policy has sparked concerns among downstream operators, who warn that Nigeria’s limited refining capacity — with over 60 per cent of refined products still imported — could lead to sharp price hikes and market disruptions.
Analysts say the measure represents another key step in Tinubu’s broader reform agenda aimed at achieving fuel self-sufficiency and fiscal stability through local production and reduced import dependence.
