The Federal Government’s decision to reverse the 15% tariff on imported petroleum products has drawn strong criticism from the civil society group PANEP, which said the move threatens Nigeria’s local refining ambitions.
Titansloaded reports that PANEP, through its Co-Convener Comrade Olamide Odumosu, described the original tariff as a “wise and courageous” policy aligned with the Petroleum Industry Act, designed to reduce the country’s dependence on imported fuel. The group stressed that Nigeria, particularly through the Dangote Refinery, has sufficient capacity to meet domestic fuel needs and maintain a 90-day supply buffer.
PANEP dismissed claims that the tariff reversal would prevent fuel shortages or price hikes, calling such fears “false and unfounded.” The group also accused petroleum importers of resisting reforms that threaten their interests and alleged collusion with some unions and regulatory bodies, including the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), which PANEP says has failed to enforce fuel quality standards.
Highlighting the need for long-term reform, PANEP urged the government to phase out fuel importation entirely, compelling import-dependent marketers to invest in refining or acquire public refineries. The group criticised the tariff reversal as contradictory to President Bola Tinubu’s economic reform agenda and claimed the policy shift was influenced by vested interests.
While acknowledging the government’s public-interest intentions, PANEP called for the 15% tariff to be reinstated and for fuel importation to end by the first quarter of 2026, pointing to the cement sector as proof that local production can thrive when import monopolies are dismantled.
PANEP reaffirmed its commitment to supporting Nigeria’s economic reforms but warned that progress in local refining must not be reversed.
