NLC Warns 15% Fuel Import Duty Could Trigger Petrol Price Manipulation in Nigeria
The Nigeria Labour Congress (NLC) has warned that the federal government’s newly approved 15 per cent import duty on petrol and diesel could have unintended consequences for consumers if not properly managed. The labour union cautioned that the move, while potentially beneficial for local refineries, might also open the door to price manipulation and monopolistic practices within the petroleum sector.
Speaking with DAILY POST, NLC spokesperson Benson Upah said the policy could either promote local refining or worsen the cost of living, depending on how it is implemented. He acknowledged President Bola Ahmed Tinubu’s intention to boost domestic fuel production but stressed that the plan must not be used to exploit consumers or protect a few dominant market players.
According to Upah, the government must ensure that local refineries can meet demand without creating artificial shortages or unjustified price hikes. “If local capacity can meet local demand without distortions or manipulations to achieve undue business advantage at the expense of the consumer, this will be quite okay,” he said. “But if this design is intended to guarantee local supply at the outset only for the taps to be turned off shortly after, it will represent an additional tax burden on Nigerians.”
Currently, petrol prices in Lagos and Abuja range between ₦925 and ₦960 per litre, with major marketers such as NNPCL, Eterna, and AA Rano adjusting prices slightly downward to around ₦940 per litre. The reduction follows improved supply from Dangote Refinery, which the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) reports now provides around 20 million litres daily, out of an estimated national consumption of 45–50 million litres per day.
Meanwhile, the Dangote Refinery has announced that it is now loading over 45 million litres of petrol daily and has expressed support for the government’s 15 per cent duty on refined petroleum imports. However, the NLC insists that transparency, competition, and consumer protection must remain central to the new policy if Nigerians are to feel its intended benefits rather than its burdens.
source: Dailypost