By [Olusegun Ogunkayode]
In a move that has sparked relief across the energy and business sectors, the Federal Government has suspended the proposed 15% import duty on petrol and diesel, following widespread public outcry and industry concerns over possible inflationary impacts.
The policy reversal, announced late Wednesday, 12th November, 2025, by the Federal Ministry of Finance, comes barely a week after reports emerged that the Nigerian Customs Service had begun moves to enforce the new levy on imported petroleum products.
According to the statement, the government decided to halt the implementation “to allow for further consultations with critical stakeholders and ensure that the policy aligns with national economic stability goals.”
The proposed import duty, which was expected to take effect by December, 2025 had triggered heated debates amongst marketers, economists, and civil society groups, who warned that it would definitely led to an immediate hike in pump prices, pushing petrol above ₦900 per litre and diesel beyond ₦1,300.
Analysts on Journalists’ Hangout, a TVC News public affairs programme, monitored by our correspondence, described the suspension as a “timely step back from a potential economic shock.” They argued that the timing of the levy was ill-advised, given the existing strain on households, high transport costs, and Nigeria’s fragile inflation rate, currently hovering around 32%.
A panellist on the show noted, “This is not the time to add new taxes or duties on petroleum imports when Nigerians are already grappling with subsidy removal, naira volatility, and declining purchasing power. The government has done well to listen.”
Petroleum marketers also hailed the suspension as a welcome relief. The Independent Petroleum Marketers Association of Nigeria (IPMAN) said the decision would help stabilize fuel supply and pricing, at least in the short term.
However, experts warn that the temporary halt does not resolve the larger fiscal dilemma facing the government, balancing revenue generation with public welfare. “This pause should lead to a broader policy review, not just a delay in hardship,” said an economist from the Lagos Business School.
With the suspension now in place, attention has shifted to how the federal government plan to bridge the revenue gap while keeping inflation and fuel prices under control.
For now, Nigerians can breathe a sigh of relief, but many remain watchful, hoping the policy will be permanently shelved and replaced with a more people oriented economic strategy.
