Peering Advocacy and Advancement Centre in Africa has urged the Federal Government to delay the planned introduction of a 15 per cent import tariff on petrol and diesel.
Speaking st a conference today in Abuja, the Executive Director of PAACA, Mr. Ezenwa Nwagwu, said data show that domestic refining is not yet sufficient to meet national demand, and forcing importers out of the market would lead to scarcity and higher prices.
Mr. Nwagwu cautioned that the move could trigger a sharp rise in pump prices and worsen the current economic hardship.
The organisation said the policy should not be implemented until domestic refining capacity reaches at least 80 per cent of national demand.
According to him, imported petrol currently lands at about N802 per litre, while locally refined products land at N929.72 per litre.
The Executive Director said adding a 15 per cent tariff would further increase costs, pushing the pump price up by between N140 and N165 per litre across the country.
He noted that the Dangote Refinery, which the policy appears set to favour, currently supplies about 40 per cent of national demand and still imports components for its own blending, making the case for import restriction premature.
Mr. Nwagwu also warned that depending on one major supplier could give that company control over pricing and distribution while sidelining independent depot owners and marketers who have invested heavily in infrastructure.
He urged the government to suspend the proposed tariff until domestic refining capacity reaches at least 80 per cent of national needs.
Mr Nwagwu called for transparency in refinery supply agreements and the monthly publication of refinery output, import volumes, and landing costs by the Nigerian Midstream and Downstream Petroleum Regulatory Authority.
The organisation further recommended establishing a downstream competition framework under the Petroleum Industry Act and an energy market monitoring unit under the Federal Competition and Consumer Protection Commission to prevent cartel formation.
Mr. Nwagwu said true energy security requires multiple suppliers, not the protection of a single player, adding that government policies must prioritize citizens’ welfare.
