Wale Edun Clarifies 5% Fuel Surcharge, Reaffirms FG’s Commitment to Macroeconomic Stability

Wale Edun Clarifies 5% Fuel Surcharge, Reaffirms FG’s Commitment to Macroeconomic Stability.

Speaking at a media briefing in Abuja, HM of @FinMinNigeria, Mr. Wale Edun addressed recent concerns surrounding the 5% fuel surcharge referenced in the Nigeria Tax Administration Act, 2025. He clarified that the surcharge is not a new tax, but one that predates the current administration, having first been introduced under the Federal Roads Maintenance Agency (FERMA) Amendment Act of 2007 to provide sustainable financing for road infrastructure. Of the revenues, 40% is allocated to FERMA and 60% to State Road Maintenance Agencies.

He explained that its inclusion in the new Act is not to impose a fresh levy but to harmonise existing tax provisions under a modern, transparent framework.

Mr. Edun described the Nigeria Tax Administration Act, signed into law by President Bola Ahmed Tinubu in June 2025, as the country’s most ambitious and comprehensive tax reform to date. The Act consolidates multiple tax laws into a single legal instrument, eliminates over 50 overlapping taxes, and modernises revenue administration to improve compliance, efficiency, and investor confidence.