The suspension of the 15 per cent import duty on petrol and diesel threatens Nigeria’s long-term energy security, according to the Centre for the Promotion of Private Enterprise (CPPE). The group has called on the federal government to reinstate the duty, warning that its removal could undermine investments in domestic refineries, including the Dangote Petroleum Refinery and emerging modular refineries.

In a policy brief released on Sunday, CPPE CEO Dr. Muda Yusuf described the suspension as a short-term move that risks long-term national interests. The import duty, first introduced on October 21, 2025, was aimed at protecting local refiners, promoting backward integration, and reducing dependence on imported fuel.

“Domestic refiners face high operating costs, infrastructure gaps, and expensive financing. Without protective measures, competing with imported fuel is extremely challenging,” Yusuf said. He added that billions of dollars have been invested in Nigeria’s refineries based on policy stability, and reversing the duty jeopardises these commitments.

CPPE highlighted that the policy suspension exposes the country to global price volatility, supply disruptions, and foreign exchange pressures, while potentially increasing fuel inflation and deepening balance-of-payments deficits. The organisation stressed that domestic refining supports local value chains in petrochemicals, logistics, and engineering, creating jobs and contributing to economic growth.

The group urged the government to adopt targeted measures such as reduced port charges, tax credits, guaranteed crude supply, and better pipeline and storage infrastructure to support local refineries. Yusuf also recommended predictable, multi-year industrial protection to strengthen investor confidence.

“Safeguarding domestic refineries aligns with Nigeria’s long-term economic and strategic goals,” Yusuf concluded, warning that the current suspension endangers both energy security and national industrial development.