Skip to main content

OGUNCCIMA Decries Suspension of 15% Fuel Tariff, Warns of Impact on Investor Confidence in Energy Sector

By Afolabi Oyekunle.




 

Ogun State Chamber of Commerce, Industry, Mines and Agriculture (OGUNCCIMA) has faulted the Federal Government’s decision to suspend the proposed implementation of the 15 percent import duty on Premium Motor Spirit (PMS) and diesel imports, saying the move could slow down the nation’s progress toward energy independence and weaken investor confidence in the refining sector.

 

Reacting to the announcement by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) that the tariff was “no longer in view,” OGUNCCIMA’s President, Lion Niyi Oshiyemi, described the suspension as a setback to Nigeria’s economic reform drive and a missed opportunity to protect local refiners, particularly the Dangote Refinery and other modular refining initiatives.

 

According to him, “The suspension of the 15 percent fuel import tariff is disappointing. The policy was a step in the right direction to promote local refining, reduce dependence on imports, conserve foreign exchange, and create a fair competitive environment for domestic producers."

 

"Its reversal sends a wrong signal to investors who have shown confidence in Nigeria’s energy sector.”

 

Oshiyemi explained that the tariff would have helped to stabilize the naira by curbing excessive demand for foreign exchange used in fuel importation.

 

He added that local refineries need firm policy backing to thrive, warning that continuous reliance on imported fuel would make the economy vulnerable to external shocks.

 

“The Dangote Refinery alone has the capacity to meet Nigeria’s domestic fuel needs and even export to other African countries. Supporting such investments with protective policies like the import tariff is not just economic common sense; it is a matter of national interest,” he stated.



 

The OGUNCCIMA President urged the Federal Government to reconsider its decision and reintroduce the policy after consultations with key stakeholders in the oil and gas industry.

 

He emphasized that sustainable industrial growth requires consistency in policy direction, noting that frequent policy reversals discourage private sector participation and hinder long-term development.

 

While acknowledging the government’s concern about potential short-term price increases, Oshiyemi maintained that the long-term gains including job creation, forex savings, and increased energy security far outweigh any temporary inconvenience.

 

He reaffirmed OGUNCCIMA’s commitment to advocating policies that protect local industries and promote economic diversification.

 

“We believe in reforms that empower Nigerian investors and strengthen our productive base. The 15 percent tariff was one of such reforms, and we urge the government to revisit it in the national interest,” he said.

 

 

Comments

Post a Comment

Popular posts from this blog

Omisande: CPS Pensioners in Lagos State assured of payment of their increase pension benefits as their Federal counterparts.

 By Afolabi Oyekunle. Pensioners under the Contributory Pension Scheme(CPS) in Lagos State have been urged to be patient concerning their much awaited  increases, as there are assurance that all what they are entitled to will be paid earlier next year. This assurance is coming from the Chairman, Nigeria Union of Pensioners, Contributory Pension Scheme, NUPCPS, Lagos State Council, Comrade Michael Omisande. Comrade Omisande who spoke to ForumNews at the sideline of the end of year get together of Agege Zone Pensioners said what is delaying is the Template which is being awaited  Comrade Omisande said just as the Federal workers who have started receiving their own entitlements, all Pensioners under the scheme in other five states will receive their own as  approved by the Federal government. According to him, the PFA'S have been given till 20th December to pay all Federal Pensioners. He said after the completion of the Payment, PenCom will ther...
Post a Comment
Read more

PenCom urges Lagos State Governor to extend periodic pension increase to retirees under CPS, as Sanwoolu welcomes the idea.

By Afolabi Oyekunle. The National Pension Commission (PenCom)  has called on  the Lagos State Governor, Babajide Sanwo-Olu, to extend periodic pension increases currently enjoyed by Defined Benefit Scheme (DBS) retirees to those under the Contributory Pension Scheme (CPS) to boost their monthly pensions.  The Director General of PenCom, Ms. Omolola Oloworaran, made the request during a courtesy visit to Governor Sanwo-Olu at the Lagos State Government House on 7 May 2025. The visit was to present the report of PenCom’s 2024 routine inspection of the Lagos State Pension Commission (LASPEC) and to thank the Governor for confirming his participation as Special Guest at the Pension Industry Leadership Retreat starting 8 May 2025. PenCom DG pointed out that currently, only DBS retirees are paid pension increases in Lagos State, leaving out their counterparts under the CPS.   DG PenCom Ms Oloworaran with Gov Sanwoolu who presented her with Lagos State plaq...
Post a Comment
Read more

PENCOM pledges to see that Lagos State pays CPS retirees.

By Afolabi Oyekunle. Director General of National Pension Commission, Ms Omolola Oloworaran has pledged that the Commission will fast track and work towards Lagos State government paying retirees under the Contributory Pension Scheme what is due to them like their federal counterparts. She made the pledge at a media workshop in Lagos for journalists. The Director General was surprised when she was asked why the Template for the payment was not released to Lagos State government for the payment of backlog of areas and allowances as approved by the Federal government, which Federal retirees are currently enjoying.         PenCom DG, Omolola Oloworaran  She thereby directed her staff to work on the Lagos State matter to settle the matter towards making the Lagos State government have all the necessary information needed to pay the retirees. The PenCom Director General noted that Lagos State government was one of the few states that keyed into the progra...
Post a Comment
Read more