‘No Immediate Plans to Implement 5% Fuel Surcharge’ Edun
By Patience Ikpeme
The federal government has addressed growing public concerns about a potential 5% surcharge on fuel, stating it has no immediate plans to implement the tax.
Minister of Finance and Coordinating Minister for the Economy, Mr. Wale Edun, said the government is aware of current economic pressures and will not take decisions that would make things more burdensome for citizens.
Speaking on Tuesday, Mr. Edun said, “And as of today, no order has been issued, none is being prepared, and there is no plan, no immediate plan to implement any surcharge.”
He explained that the surcharge, while included in the 2025 Nigeria Tax Administration Act, is not an automatic new tax. “It doesn’t mean fresh taxation automatically,” he said. He added that any future implementation would require a formal commencement order issued by the Minister of Finance and published in an official gazette.
Mr. Edun described the new legislation as Nigeria’s most comprehensive tax reform in decades, noting it is a set of four bills that represents a major milestone in modernizing tax administration and improving revenue mobilization.
He said the laws were designed to consolidate multiple tax laws into a single framework, eliminate overlapping taxes, and simplify compliance for individuals and businesses. This is part of a broader vision to attract investment and improve the ease of doing business in Nigeria.
The four bills that make up the new legal framework are the Nigerian Tax Bill, the Tax Administration Bill, the Revenue Service Bill, and the Joint Revenue Board Bill. The minister said the process of developing the laws took about two years of consultation, negotiation, and technical work.
Mr. Edun said the government’s priority is to “strengthen tax governance, block revenue leakages, and improve efficiency, rather than just levy new taxes, charges, and costs.” He described the Nigerian Tax Act as a “transformational legal document” that requires meticulous work and preparation for its effective implementation.
He explained that before the full implementation of the new laws, there will be “publicity, sensitization, education, and information.” He said this process will ensure that Nigerians understand the new laws and can comply with them. “The reforms are deliberate, evidence-driven, and phased, built on consultation and research,” he concluded.
