The Nigerian government on Thursday said the implementation of a 15 per cent import duty on petrol and diesel, recently announced by President Bola Tinubu, is “no longer in view”.
The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) made this known in a statement signed by its Director, Public Affairs Department, George Ene-Ita and posted on its X handle on Thursday.
|
|
“The implementation of the 15 per cent ad-valorem import duty on imported Premium Motor Spirit (petrol) and Diesel is no longer in view,” the statement said.
Last month, Mr Tinubu approved a 15 per cent import duty on petrol and diesel. The government stated that the directive aimed to “strengthen local refining capacity, and ensure a stable, affordable supply of petroleum products across Nigeria.”
|
|
|
|---|
Essentially, the tariff would have ensured that imported petrol is not cheaper than that of the Dangote refinery, which produces virtually all of Nigeria’s locally produced petrol.
At the time, the government said implementation of the tariff will begin in about a month, following the request by the chairman of the revenue agency, Federal Inland Revenue Service (FIRS), Zacch Adedeji, whose memo triggered the presidential approval.
The policy was, however, met with criticism from various stakeholders, energy experts and civil society groups, who argued it would lead to higher fuel prices and worsen the country’s economic situation.
Stay Ahead with Premium Times
Follow us on Google News and never miss breaking stories, investigations, and in-depth reporting.
Add as a preferred source on Google
Following the approval, Dangote refinery, the largest oil refiner in the West African country, said there was no need for petrol import, adding that it produces enough petrol and diesel for local consumption.
On Thursday, the NMDPRA assured that there is adequate supply of petroleum products in the country, within the acceptable national sufficiency threshold during this peak demand period.
“There is 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 statement said.
READ ALSO: Presco launches rights issue in bid to raise N236.7 billion
The NMDPRA said it 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,” it said.
Discover more from Premium Times Nigeria
Subscribe to get the latest posts sent to your email.
More News
