No plans to impose a 5% fuel tax right now—Edun

• Oyedele supports 5% fuel surcharge, emphasizes it's not meant to burden Nigerians

• FG publishes tax reform laws, set to take effect in January 2026

By Emma Ujah, Abuja Bureau Chief

Currently, the Federal Government has no plans to put the 5 percent Petroleum Products Tax from the Tax Administration Act, 2025, into action.

This information was shared by the Finance Minister and Coordinating Minister of the Economy, Mr. Wale Edun, during a press conference in Abuja yesterday.

The proposed tax has caused significant backlash among Nigerians, with organized labor threatening industrial action unless the government retracts it.

On a different note, Taiwo Oyedele, who chairs the Presidential Committee on Fiscal Policy and Tax Reforms, mentioned that the intended fuel surcharge aims to create a specific fund for repairing Nigeria’s roads, rather than placing additional pressure on families.

Conversely, Edun clarified that the surcharge has existed since the Federal Road Maintenance Agency (FERMA) Act of 2007, meaning it is not a brand-new tax measure introduced by the current administration.

He emphasized, “It is essential to clarify this point. Just because this surcharge is mentioned in the 2025 Nigeria Tax Administration Act does not mean a new tax is automatically going into effect.

“There is a formal procedure that must be followed, and as of now, no orders have been created, nor are any being drafted, and there are no plans in place. There is no immediate intention to enforce any surcharge.

“This administration understands the current economic difficulties and will refrain from making choices that could increase burdens on Nigerians.”