Fuel price increase looms as tinubu approves 15% import tariff on petrol,diesel.

Fuel prices in Nigeria are expected to increase as President Bola Tinubu has approved a 15% import tariff on petrol and diesel, to take effect immediately.

According to a government document obtained by THISDAY, the decision aims to protect local refineries, stabilise prices, and strengthen energy security under the administration’s Renewed Hope Agenda. While the tariff could push pump prices up by about ₦150 per litre, the report stated that the real impact may not exceed ₦100 per litre.

The directive, copied to the Attorney General, FIRS Chairman, and NMDPRA Chief Executive, introduces a 15% ad-valorem duty on the Cost, Insurance, and Freight (CIF) value of imported fuels. Payments will be made into a designated federal government account, verified by the NMDPRA before any fuel is discharged.

The policy is intended to prevent cheap imports from undercutting local refiners like the Dangote Refinery, and to ensure fair competition in the downstream market. Though the proposal suggested a 30-day transition period, the President reportedly ordered immediate implementation.

Officials insist the move is not revenue-driven, but designed to align import costs with domestic realities while keeping prices lower than those in neighbouring countries.

However, industry stakeholders have raised concerns, warning that the tariff could further strain consumers, as Nigeria still imports over 60% of its refined petroleum products.

Nigerian Govt, PENGASSAN, Dangote Refinery reach truce.

The Federal Government, on Tuesday, brokered a truce between the Petroleum and Natural Gas Senior Staff Association of Nigeria, PENGASSAN, and the management of Dangote Petroleum Refinery.

The Minister of Labour and Employment, Dr Muhammad Maigari-Dingyadi, made this known in a statement on Wednesday at the end of a two-day conciliation meeting in Abuja.

The meeting, which held on Monday and Tuesday, brought together the National Security Adviser, Ministers of Finance, Budget and Economic Planning, and State for Petroleum (Gas), alongside the DSS, NIA, NNPCL, NMDPRA, NUPRC and labour leaders.

Recall that the conciliation was convened after PENGASSAN directed its members to stop gas supply and withdraw services from the refinery.

PENGASSAN had alleged that the company terminated the employment of more than 800 of its members, which triggered the industrial action.

Meanwhile, Dangote Refinery explained that the disengagement of workers was due to an ongoing restructuring exercise in the company.

According to the communiqué, the meeting resolved that unionisation is a fundamental right of workers under Nigerian law and must be respected by the company.

NUPENG Suspends Nationwide Strike.

The Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) has announced the suspension of its ongoing nationwide strike over its dispute with the Dangote Group.
Dangote
Naija News recalls that NUPENG had on Monday declared a nationwide industrial action to protest the refusal of the Dangote Group to allow its workers to join the union, particularly NUPENG.

It was gathered that the strike was called off after parties reached an agreement at a meeting convened by the Department of State Services (DSS).

The meeting was attended by the Ministers of Labour and Finance, as well as officials of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).

According to Vanguard, Seyu Dantata led the Dangote management team to the meeting.

FG, Labour Unions’ Meeting Over NUPENG, Dangote Dispute Ends In Deadlock
By Alexander Okere | Updated September 8, 2025

A closed-door meeting convened by the Federal Government to resolve the standoff between the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) and the Dangote Group ended without agreement on Sunday.

The talks, chaired by Labour Minister Mohammed Dingyadi and his junior counterpart Nkiruka Onyejeocha, sought to avert NUPENG’s planned strike slated for Monday, September 8, over alleged anti-labour practices at the Dangote Refinery.

Present were representatives of NUPENG, the Nigeria Labour Congress (NLC), the Trade Union Congress (TUC), the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), the Dangote Group, and MRS Petroleum.

NUPENG had accused the Dangote Refinery of preventing its compressed natural gas (CNG) tanker drivers from unionising, though both the Petroleum Tanker Drivers (PTD) and the Direct Trucking Company Drivers Association (DTCDA) distanced themselves from the strike.

Despite appeals from the government to suspend the action due to its potential economic impact, NUPENG insisted on proceeding. Dingyadi warned that shutting down the petroleum sector, even for a day, could cause losses running into billions and worsen hardship for Nigerians.

Meanwhile, human rights lawyer Femi Falana has declared support for NUPENG’s position.

NMDPRA Reports Significant Decline In Fuel Consumption In Nigeria.

The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has reported a substantial decrease in fuel consumption for June 2025, with total fuel evacuation falling to 1.44 billion litres.
NMDPRA Reports Significant Decline In Fuel Consumption In Nigeria
This marks a 16.42% decline compared to May, which saw a total of 1.77 billion litres of fuel evacuated.

Naija News reports that the Director of Public Affairs at NMDPRA, George Ene-Ita, confirmed in a report on Wednesday that daily fuel consumption averaged 48 million litres in June.

He also corrected earlier reports that suggested a lower daily average of 38.94 million litres.

According to the NMDPRA, the exact volume of fuel evacuated in June was 1,440,768,129 litres, representing a decrease of over 290 million litres from May’s total.

When broken down, the daily average evacuation stood at 48,025,604 litres, which was calculated by dividing the total monthly volume by the 30 days in June.

Fuel Supply Breakdown: Diesel, Kerosene, and Gasoline
Automobile Gas Oil (AGO/Diesel): The supply of diesel saw a slight increase of 1.73%, reaching 432.18 million litres in June, up from 424.83 million litres in May. However, diesel distribution (truck-out) experienced a significant decline of 23.23%, dropping from 552.35 million litres in May to 424.06 million litres in June.

Household Kerosene (HHK): Both the supply and distribution of household kerosene recorded a 13% decrease in June. The total HHK supply for the month was 7.79 million litres, down from nearly 9 million litres in May.

Automotive Gasoline (PMS): The sharpest decline was seen in the supply of automotive gasoline (PMS), which dropped by nearly 48%, from 72.36 million litres in May to 37.66 million litres in June. Distribution also fell by 16.54% during the same period.

Brief: Dangote Refinery Drops ₦100bn Lawsuit Against NNPCL, Others

Dangote Petroleum Refinery has withdrawn its ₦100 billion lawsuit against the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), NNPC Limited, and five other oil firms.

The case, filed at the Federal High Court in Abuja, challenged the issuance of fuel import licenses, which Dangote claimed violated the Petroleum Industry Act and undermined local refining. The refinery had sought damages and a declaration that NMDPRA failed to protect domestic producers.

However, a formal notice of discontinuance was submitted, with no stated reason or indication of an out-of-court settlement.

The defendants, including Matrix, AYM Shafa, and A.A. Rano, had argued the case was an attempt by Dangote to monopolise the market. NMDPRA maintained it acted lawfully to meet national fuel demand.#DangoteRefinery #NNPCL #NMDPRA #OilAndGas #PetroleumIndustryAct #FuelImportation