Nigerian Government Approves 15% Tariff on Imported Fuel to Boost Energy Independence

The Nigerian government, led by President Bola Tinubu, has approved a 15% tariff on imported petrol and diesel to support the removal of fuel subsidies by 2023. The new tariff framework, effective from October 21, 2025, seeks to balance import and local refining costs to strengthen energy independence.

The tariff is not revenue-driven but designed to protect local refineries like Dangote Refinery. Despite the tariff, retail fuel prices in Lagos are expected to remain relatively stable.

The Nigerian Midstream Downstream Petroleum Regulatory Authority (NMDPRA) will oversee the implementation to ensure market balance and transparency.