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The Pros And Cons As President Tinubu Approves 15 percent Import Duty On Fuel

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By Yusuf Danjuma Yunusa

President Bola Tinubu has approved a 15 per cent import duty on petrol and diesel, a controversial move in which the government described as a tool to supporting local refining and boosting energy security, but which critics say could lead to an increase in fuel price.

The president’s approval was contained in a letter with reference no: PRES8197/HAGF/100/71/FIRS/40/88-2/NMDPRA/2, dated 21 October. The letter was addressed to the Attorney General of the Federation and Minister of Justice, Federal Inland Revenue Service (FIRS) and the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).

The tariff allows for a 30-day window and adds to the controversy around petrol import and production in Africa’s largest oil producer.

The letter, titled ‘Re: introduction of a market-responsive import tariff framework on Premium Motor Spirit (PMS) & Diesel,’ was signed by Damilotun Aderemi, the Private Secretary of the President.

The president’s approval followed a request by FIRS Chairman, Zacch Adedeji, for the government to apply the tariff to align import costs with domestic realities.

Mr Adedeji said the duty, applied to the Cost, Insurance, and Freight (CIF) value, is expected to increase petrol prices by approximately N99.72 per litre. Despite this, Lagos pump prices are projected to remain around N964.72 per litre ($0.62), which is still lower than in neighbouring countries like Senegal, Côte d’Ivoire, and Ghana, he said.

He added that the tariff is not revenue-driven but corrective, aimed at aligning import costs with domestic realities while preserving affordability, noting that the implementation would commence after a 30-day transition window, allowing importers to adjust cargoes already in transit and ensuring a smooth rollout without market disruption.

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“The core objective of this initiative is to operationalise crude transactions in local currency, strengthen local refining capacity, and ensure a stable, affordable supply of petroleum products across Nigeria aligning with Your Excellency’s Renewed Hope Agenda for security and fiscal sustainability,” the FIRS chief wrote to the president.

Nigeria currently has no publicly functioning refinery, with the Dangote refinery producing almost all of the West African giant’s locally refined petroleum products.

Although Dangote refinery insists it can produce all of Nigeria’s local petrol needs, problems with regulators and other players in the downstream oil sector have ensured that the country continues to import about 15 per cent of its petrol needs.

President Tinubu’s directive is basically to ensure that imported petrol is not significantly cheaper than that produced by Dangote refinery.

Conversely, major marketers of petroleum products yesterday warned that the introduction of the 15 per cent import duty on petrol and diesel could signal another round of fuel price increase.

The approval of the duty by President Bola Ahmed Tinubu is causing division in the downstream sector of the oil and gas industry with some economic experts applauding the move as a welcome development aimed at discouraging importation of petroleum products and supporting local refineries, while others express worry over likely hike in prices of petroleum products.

“The issue around capacity that Dangote Refinery talked about is contestable and I don’t think the capacity is there yet. So if you are imposing this duty, it means we should be prepared for a new regime of fuel price increase.

“The truth is we are not getting enough from the refinery and we know that when we order from Dangote Refinery, we don’t get it on time,” one of the major marketers who spoke in confidence said.

Speaking with journalists, the Managing Director of 11PLC (formerly Mobil), Otunba Tunji Oyebanji said, “15 per cent to the government is a lot of revenue to the government but higher prices for Nigerians.”

The president of the Independent Marketers’ Association of Nigeria (IPMAN), Alhaji Abubakar Maigandi, in a chat with the correspondent of Daily Trust said the association would make its position known on Monday.

However, a former General Secretary of IPMAN, Mike Osatuyi, welcomed the move which he stated would support investment by the local refineries.

“The purpose is mainly to protect our local refineries. For decades, Nigeria has been known for importation of petroleum products and we are used to it. We are providing employment for the foreign countries at the expense of the economy of Nigeria.

“So Dangote wants to go to 1.4m barrels per day which is going to be the biggest in the whole world. By the time it comes up, then other refineries too are coming up, BUA Refinery too is coming up, all these local refineries need to be protected.

“If we didn’t do what the president has done we would kill the local refineries. So it is a good policy.”

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Political War Erupts as Kwankwaso Rubbishes Marafa’s Call to Sack Matawalle

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The Director of Finance and Administration of the Hadejia–Jama’are River Basin Authority, Hon. Musa Iliyasu Kwankwaso, has dismissed as futile the call by former Senator Kabiru Marafa for the removal of Dr. Bello Matawalle as Minister of Defence, insisting that President Bola Ahmed Tinubu remains fully satisfied with Matawalle’s performance.

Kwankwaso made the remark while addressing journalists at a press briefing in Abuja, describing Marafa’s demand as unfortunate, baseless and driven by personal bitterness, and stressing that it would not influence the President’s decision.

He said it was disturbing that a politician from the same state as the minister, Zamfara, would publicly attack Matawalle despite the minister’s commitment to national service.

“I was truly shocked when I heard the comments of former Senator Kabiru Marafa calling for the removal of the Minister of Defence, Dr. Bello Matawalle, even going as far as fabricating lies and false allegations against him. These statements are clearly driven by confusion and jealousy, and Mr. President will never accept them from enemies hiding behind criticism,” Kwankwaso said.

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Hon. Kwankwaso further argued that Marafa lacks the moral standing to speak on security matters, citing a controversial traditional title allegedly linked to criminal elements within Marafa’s immediate circle.

“Besides jealousy and bitterness, Marafa has no justification to speak on security issues. A close relative of his senior brother was said to have been involved in helping to confer a traditional leadership title on the notorious bandit leader, Ado Aliero, in Yandoto. It was during Dr. Bello Matawalle’s tenure as governor that the title was subsequently suspended. So I ask: if he truly has a conscience, does he really have the right to speak on security?” he queried.

 

Kwankwaso also recalled past political comments credited to Marafa, in which the former senator reportedly vowed to defeat President Tinubu politically, questioning the sincerity of his present demand.

“Not long ago, Marafa openly said he would defeat Tinubu and cause him a one-million-vote loss. Now the same person who once wished the President’s failure is calling on the President to remove someone who is working for the success of his administration. That contradiction exposes the real motive behind these attacks,” he added.

 

He maintained that President Tinubu’s confidence in Dr. Matawalle remains firm, noting that no amount of pressure, manipulation or political jealousy would force the President to act against his judgment.

In his concluding remarks, Kwankwaso cautioned Northerners against what he described as a growing culture of destructive rivalry and bitterness, where individuals seek the downfall of others simply because they have lost political relevance.

He warned that those currently calling for Matawalle’s removal might be the same people who would later accuse the President of marginalising the North should he appoint someone else from outside the region.

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New Defense Minister GC Musa Takes Oath of Office

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By Yusuf Danjuma Yunusa

President Bola Tinubu has sworn in General Christopher Musa (retd.) as the new Minister of Defence.

Musa, a former Chief of Defence Staff, took the oath of office on Thursday at the State House, Abuja.

Nigerian Tracker News had reported that the Senate on Wednesday confirmed Musa as Minister of Defence following a rigorous five-hour screening.

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During the session, the former CDS was grilled over recent security lapses, including the controversial withdrawal of troops from Government Comprehensive Girls Secondary School, Maga, in Kebbi State, shortly before schoolgirls were abducted on November 17.

He told lawmakers he would “immediately set up a full-scale investigation” into the troop withdrawal once he assumes duty.

Musa also vowed to probe the killing of Brigade Commander Brig-Gen. Musa Uba in Borno State, along with other attacks on senior military officers.

Musa’s nomination followed the resignation of former Defence Minister, Mohammed Badaru, reportedly on health grounds.

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KANSIEC Appoints Adhoc Staff for Ward Bye-Elections

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Prof Sani Lawal Malumfashi KANSIEC Chairman

 

The Chairman of the Kano State Independent Electoral Commission (KANSIEC), Professor Sani Lawal Malumfashi, has issued appointment letters to adhoc staff for the upcoming ward bye-elections in three local government areas of the state.

During the presentation of the appointment letters, Professor Malumfashi urged the adhoc staff to justify the trust and confidence the commission has reposed in them.

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He expressed his confidence in their ability to discharge their duties based on their level of education, experience, and track record of honesty and dedication.

The adhoc positions include 3 Returning Officers, 3 Electoral Officers, and 3 Assistant Electoral Officers for Dala (Kofar Mazugal), Dogowa (Maraku), and Ghari (Matan Fata) wards.

In a statement signed by Bashir Habib Yahaya media aid to the executive chairman said the Chairman appreciated security agencies, politicians, and the general public for their support and cooperation. The bye-elections are scheduled to hold on December 13, 2025.

 

 

 

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