The Federal Government, through the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), has announced the suspension of the proposed 15 per cent ad-valorem import duty on Premium Motor Spirit (PMS) and Automotive Gas Oil (AGO), commonly known as petrol and diesel.
The Authority made this known in a statement issued on Thursday, reassuring Nigerians that there is sufficient supply of petroleum products across the country despite the rising demand during the current peak season.
“It should be noted that the implementation of the 15% ad-valorem import duty on imported Premium Motor Spirit and Diesel is no longer in view,” the regulator stated.
Backstory
Last month, President Tinubu approved a 15 percent ad-valorem import duty on diesel and petrol.
The approval was contained in a letter dated October 21, 2025, where Damilotun Aderemi, the Private Secretary to the President, conveyed the directive to the Federal Inland Revenue Service (FIRS) and the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).
This was a move oil marketers have described as very challenging and would lead to an increase in the price of petroleum products.
They said the government is making it difficult for players who are importing petroleum products to make up for the shortfall from the local refiners, who they said are not producing enough to meet local demand.
FG assures Nigerians of fuel availability
According to the statement, the NMDPRA said that both domestic refineries and importation channels are providing a “robust and steady” inflow of petroleum products, including PMS, AGO, and Liquefied Petroleum Gas (LPG), to ensure the market remains stable and retail stations are adequately stocked.
It further noted that the Authority is maintaining close surveillance of supply and distribution networks nationwide to prevent any disruptions or artificial scarcity.
“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 and storage deposits at retail stations during this period,” it added.
NMDPRA also cautioned marketers and depot operators against hoarding, panic buying, or arbitrary price increases that are not market-reflective, stressing that such practices could undermine stability in the downstream sector.
What you should know
Earlier, Nairametrics reported that Dangote Petroleum Refinery has thrown its weight behind the federal government’s decision to impose a 15% ad-valorem import duty on petrol and diesel, describing it as a necessary measure to protect local refiners and curb the dumping of imported products.
The refinery said it currently has sufficient capacity to meet national demand, stating that it is loading about 45 million litres of petrol and 25 million litres of diesel daily, while working with regulatory agencies to ensure nationwide distribution.
