Raphael Kanu
The Federal Government’s plan to introduce a 5 per cent surcharge on refined petroleum products, including petrol and diesel, from January 1, 2026, has triggered strong opposition from stakeholders in the extractive industry and civil society organisations (CSOs).
The surcharge, announced as part of the government’s new revenue drive, is expected to further increase pump prices at a time Nigerians are grappling with high inflation and rising living costs.
Industry operators warn that the policy could push transport fares and production costs higher, aggravating hardship for households and businesses. Civil society groups, on their part, argue that the move is “anti-people” and risks provoking social unrest.
Speaking on the development, a coalition of CSOs cautioned that Nigerians are already bearing the brunt of the petrol subsidy removal and soaring energy costs. “Adding another layer of tax will deepen poverty and make life unbearable for ordinary citizens,” one activist said.
Some players in the oil and gas sector also questioned the timing of the measure, urging the government to explore alternative strategies for boosting revenue without overburdening consumers.
As consultations continue, labour unions and advocacy groups are mobilising to resist the implementation, while experts predict that the coming months will witness heightened debate over the economic and social implications of the new tax regime.