By Anifowoshe Oladipupo
The Presidential Fiscal Policy and Tax Reforms Committee has clarified that the proposed 5% fuel surcharge under Nigeria’s new tax laws will not apply to key household energy products.
Committee Chairman, Taiwo Oyedele, said in a statement that household kerosene, cooking gas (LPG), compressed natural gas (CNG), and other clean or renewable energy products are exempt from the levy.
He explained that the exemption is aimed at cushioning the rising cost of living while supporting the country’s clean energy transition.
Oyedele further noted that the surcharge will not automatically take effect in January 2026.
Its implementation, he said, is subject to a formal order by the Minister of Finance, ensuring that prevailing economic conditions are reviewed before any enforcement.
According to the committee, the surcharge is designed to create a dedicated fund for road infrastructure and maintenance, an approach already in place in more than 150 countries to guarantee steady investment in road networks.
