By Odita Sunday
The Nigeria Customs Service (NCS) has released additional guidelines for the implementation of fiscal incentives under the Presidential Gas for Growth Initiative, outlining the categories of vehicles and equipment that qualify for import duty and Value Added Tax (VAT) exemptions as part of the Federal Government’s drive to accelerate the adoption of cleaner energy.
The new guidelines, issued by the Federal Ministry of Finance and announced by the NCS, are aimed at advancing President Bola Ahmed Tinubu, GCFR’s commitment to promoting sustainable transportation and expanding the use of environmentally friendly energy alternatives across the country.
According to the Service, eligible imports that will enjoy exemption from Import Duty and VAT include 100 per cent Compressed Natural Gas (CNG) vehicles, 100 per cent Liquefied Petroleum Gas (LPG) vehicles, fully electric vehicles, Extended Range Electric Vehicles (EREVs) with a minimum pure electric range of 200 kilometres, CNG and LPG conversion kits for petrol and diesel vehicles, tricycles and motorbikes certified for resale by the Federal Ministry of Finance, as well as semi-trailers fitted with skid-mounted CNG, LPG and Liquefied Natural Gas (LNG) storage tanks for gas distribution.
The Customs Service, however, stated that importers seeking to benefit from the incentives must first obtain an Import Duty Exemption Certificate (IDEC) from the Federal Ministry of Finance and comply with all regulatory requirements governing the importation of the approved items.
The Service also clarified that certain categories of vehicles and equipment remain excluded from the fiscal incentives and will continue to attract Import Duty and VAT. These include hybrid electric vehicles powered by electric and petrol or diesel engines, dual-fuel internal combustion engine vehicles configured for CNG/petrol or CNG/diesel operations, luxury vehicles valued at 100,000 US dollars and above, CNG vehicles converted overseas without factory-fitted CNG capability, non-self-driven semi-trailers and flatbeds, as well as all categories of spare parts.
According to the NCS, the fiscal incentives are designed to reduce transportation and energy costs, stimulate investment in clean energy infrastructure, promote the adoption of alternative fuel technologies, and strengthen Nigeria’s energy security while advancing the country’s environmental sustainability agenda.
The Service reaffirmed its commitment to the transparent implementation of the policy under the leadership of the Comptroller-General of Customs, Bashir Adewale Adeniyi, MFR, urging importers, licensed customs agents and other stakeholders in the trade ecosystem to strictly comply with the approved guidelines and regulatory requirements.
The additional guidelines were conveyed in a statement signed by the National Public Relations Officer of the Nigeria Customs Service, Abdullahi Maiwada, PhD, mnipr, mniia, on behalf of the Comptroller-General of Customs.
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