President Bola Tinubu has approved a 15 per cent tariff on petrol and diesel imported into Nigeria.

Mr Tinubu communicated the tariff approval in a letter dated October 21, 2025, signed by his private secretary, Damilotun Aderemi, and addressed to the Federal Inland Revenue Service and the Nigerian Midstream and Downstream Petroleum Regulatory Authority.

The approved tariff, which was described as a “market-responsive import tariff framework,” comes in response to a proposal by the executive chairman of the FIRS, Zacch Adedeji.

The FIRS czar had, in a memo addressed to the president, said, “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.”

“The tariff is not revenue-driven but corrective, aimed at aligning import costs with domestic realities while preserving affordability,” Mr Adedeji said.

According to the FIRS boss, Sections 71 and 72 of the Petroleum Industry Act (PIA) provide the legal basis for the proposed import tariff. 

Section 71 (a) and (b) empowers the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to issue regulations imposing public service obligations on licensees in relation to matters, which include security of supply, economic development, and the achievement of wider economic policy objectives.

The approved tariff will see import duty increase a litre of petrol by an estimated N99.72 kobo. 

Its 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.