In line with the Federal Ministry of Finance’s fiscal incentives under the Presidential Gas for Growth Initiative, the Nigeria Customs Service (NCS) has announced the implementation of import duty and Value Added Tax (VAT) waivers for the importation of Compressed Natural Gas (CNG), Liquefied Petroleum Gas (LPG)-powered, and pure electric vehicles.
The exemptions also cover 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 motorcycles certified for resale by the Federal Ministry of Finance, as well as semi-trailers configured with skid-mounted CNG, LPG, and Liquefied Natural Gas (LNG) storage tanks for gas distribution.
The National Public Relations Officer of the NCS, Deputy Comptroller of Customs Abdullahi Maiwada, disclosed this in a statement on Friday, noting that the move reiterates President Bola Ahmed Tinubu’s commitment to promoting cleaner energy alternatives and enhancing the adoption of sustainable transportation solutions.
“Pursuant to the approved fiscal incentives, the importation of specified environmentally friendly and gas-powered vehicles, equipment, and components shall enjoy exemption from the payment of Import Duty and Value Added Tax (VAT),” the statement said.
DC Maiwada also noted that importers seeking to benefit from the incentives are required to obtain an Import Duty Exemption Certificate (IDEC) issued by the Federal Ministry of Finance and comply with all applicable regulatory requirements governing the importation of eligible items.
He explained that the approved fiscal framework provides that certain categories of vehicles and related items will remain subject to the payment of Import Duty and VAT. These include hybrid electric vehicles (such as electric/petrol and electric/diesel variants), dual-fuel internal combustion engine (ICE) vehicles configured for CNG/petrol or CNG/diesel operations, and luxury vehicles valued at US$100,000 and above.
Other items excluded from the incentives include CNG vehicles converted overseas without factory-fitted CNG capability, semi-trailers and flatbeds that are not self-propelled, and spare parts of all kinds.
Maiwada stressed that the implementation of the fiscal incentives is intended to support the Federal Government’s broader objectives of reducing transportation and energy costs, encouraging investment in clean energy infrastructure, expanding the adoption of alternative fuel technologies, and strengthening Nigeria’s energy security and environmental sustainability agenda.
He added that the Service, under the leadership of the Comptroller-General of Customs, Bashir Adewale Adeniyi, and his management team, remains committed to the effective and transparent implementation of the incentives.
The NCS urged all stakeholders, importers, licensed customs agents, and other operators within the trade ecosystem to ensure strict compliance with the applicable guidelines and regulatory requirements.
