“New Fuel Policy Not A Burden But A Bold Reform, Presidency Insists”

The Presidency has clarified that the recently approved 15 per cent import duty on premium motor spirit (PMS) and automotive gas oil (AGO), popularly known as petrol and diesel, should not be viewed as a financial burden on Nigerians but as a transformative step toward energy independence.

According to Ireporter Online, President Bola Tinubu gave his approval in a letter dated October 21, 2025, in response to a request from the Federal Inland Revenue Service (FIRS) to implement the duty on the cost, insurance, and freight (CIF) value of fuel imports. The move, the correspondence noted, would align import costs with domestic market realities and is projected to raise the pump price of petrol by approximately ₦99.72 per litre.

Speaking on the development in a statement released via X, the Special Adviser to the President on Media and Public Communication, Sunday Dare, described the decision as a “bold and strategic reform” aimed at revitalizing Nigeria’s energy sector. He emphasized that the policy was designed to stimulate local refining, enhance domestic production capacity, and ensure that Nigeria’s oil wealth directly contributes to national economic growth.

Dare noted that for decades, Nigeria’s overreliance on imported fuel had drained foreign reserves and deprived the nation of much-needed jobs. He explained that by introducing the import duty, the government seeks to make imported fuel less attractive, thereby creating a more favourable environment for local refineries such as the Dangote Refinery and other modular plants.

He further stated that as local refining increases and supply stabilizes, market prices would eventually adjust while employment opportunities, industrial productivity, and investment inflows expand. According to him, the new policy symbolizes a bridge toward self-sufficiency rather than a burden on citizens, marking a decisive shift from dependence to energy independence.