Lagos, Nigeria – Prominent Nigerian billionaire Femi Otedola has publicly praised President Bola Ahmed Tinubu for imposing a 15 per cent import tariff on petrol and diesel, describing it as a “bold and decisive” action to protect the nation’s domestic refining capabilities.
In a post on X (formerly Twitter), Mr Otedola, who serves as chairman of Geregu Power Plc, highlighted the tariff’s role in shielding substantial investments in local production. “This policy represents a crucial move towards safeguarding local industries that have made substantial investments in domestic production and refining capacity,” he stated.
Drawing parallels with Nigeria’s past economic challenges, Mr Otedola warned against repeating historical errors where unchecked imports devastated sectors like textiles, vehicle assembly, and manufacturing. “For decades, Nigeria’s industrial base has suffered from the unchecked importation of cheaper and often substandard goods,” he noted, emphasising that the energy sector must not follow suit, especially given Nigeria’s current ability to satisfy its petrol and diesel demands domestically.
The measure is seen as a defence for billions of dollars poured into refining projects, such as the Dangote Refinery and other modular operations. Mr Otedola argued that it would promote industrialisation, generate jobs, and foster a sustainable energy landscape. Additionally, he suggested the tariff could lead to a more stable pricing framework, helping to manage inflation and ensure enduring economic steadiness.
“President Tinubu’s ability to deploy policy as a catalyst for economic transformation is truly commendable,” Mr Otedola added. He lauded the president’s emphasis on bolstering local producers and enhancing value addition, calling it the visionary approach needed to propel Nigeria towards its goal of a $1 trillion economy.
This endorsement aligns with broader governmental initiatives to deregulate the downstream oil sector and diminish dependence on imported fuels, which have historically burdened foreign reserves. While full implementation details remain forthcoming from officials, experts believe the tariff could boost local refinery usage, reduce smuggling, and improve fuel quality.
