The Nigeria Customs Service (NCS) has rolled out additional guidelines for the implementation of fiscal incentives under the Presidential Gas for Growth Initiative, granting Import Duty and Value Added Tax (VAT) exemptions on the importation of eligible Compressed Natural Gas (CNG), Liquefied Petroleum Gas (LPG), and electric vehicles.
The initiative, approved by the Federal Government, is aimed at accelerating the adoption of cleaner energy alternatives, reducing transportation costs, promoting sustainable mobility, and strengthening Nigeria’s energy security.
In a statement issued on Friday, the National Public Relations Officer of the NCS, Deputy Comptroller of Customs Abdullahi Maiwada, said the new guidelines were issued by the Federal Ministry of Finance in line with President Bola Ahmed Tinubu’s commitment to expanding clean energy solutions across the country.
According to the statement, vehicles and equipment eligible for the fiscal incentives include 100 per cent CNG vehicles, 100 per cent LPG vehicles, pure electric vehicles, Extended Range Electric Vehicles (EREVs) with a minimum pure electric driving range of 200 kilometres, CNG and LPG conversion kits for petrol and diesel vehicles, certified gas-powered tricycles and motorcycles, as well as semi-trailers fitted with skid-mounted CNG, LPG and Liquefied Natural Gas (LNG) storage tanks for gas distribution.
The Service explained that importers seeking to benefit from the incentives must obtain an Import Duty Exemption Certificate (IDEC) from the Federal Ministry of Finance and comply with all applicable regulatory and import requirements.
However, the Customs Service clarified that some categories remain excluded from the incentives and will continue to attract Import Duty and VAT. These include hybrid electric vehicles, dual-fuel petrol/CNG and diesel/CNG vehicles, luxury vehicles valued at 100,000 US dollars and above, CNG vehicles converted overseas without factory-fitted systems, non-self-driven semi-trailers and flatbeds, as well as all categories of spare parts.
The NCS noted that the fiscal incentives are expected to encourage greater investment in clean energy infrastructure, expand the use of alternative fuel technologies, lower transportation and energy costs, and advance Nigeria’s environmental sustainability agenda.
The Service, under the leadership of the Comptroller-General of Customs, Bashir Adewale Adeniyi, reaffirmed its commitment to the transparent implementation of the policy and urged importers, licensed customs agents and other stakeholders in the trade ecosystem to comply fully with the approved guidelines and regulatory requirements.
