FENRAD decries planned 5% diesel, petroleum levy as anti-people

Nkem Ukaegbu, Umuahia

Foundation for Environmental Rights, Advocacy and Development (FENRAD Nigeria) unequivocally condemned the proposed 5% surcharge on petroleum and diesel products, a policy currently under consideration by the Federal Government through the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).

According to the Executive Director, FENRAD, Comrade Nelson Nnanna Nwafor, the move is not only ill-timed but also anti-people, economically destabilizing, and unjustifiably harsh on already burdened Nigerian citizens.

The surcharge comes in the wake of the fuel subsidy removal, a policy that has drastically increased the cost of living across the nation and disproportionately impacted low-income earners, the working class, and vulnerable populations.

The introduction of a new surcharge—without any significant cushioning measures in place—will further exacerbate the hardship faced by millions.

FENRAD Nigeria views this policy direction as tone-deaf and disconnected from the current socio-economic realities on the ground.

At a time when inflation is at an all-time high, food prices are skyrocketing, public transportation has become unaffordable for many, and small businesses are shutting down due to rising energy costs, it is unconscionable for the government to consider further compounding the burden on the people with a regressive surcharge.

“Our position; rather than alleviating hardship, it adds another layer of suffering to citizens already grappling with the ripple effects of subsidy removal.

By increasing operational costs, this surcharge will negatively impact small and medium-scale enterprises (SMEs), which are the backbone of Nigeria’s economy.

It undermined trust in government reforms – Piling on more levies after a subsidy removal erodes public confidence in economic policies and reforms meant to stabilize the economy.

FENRAD Nigeria urged the Federal Government to halt the consideration and implementation of this surcharge and instead focus on delivering promised palliatives, instituting pro-poor reforms, and stimulating economic growth through targeted investments in renewable energy, public transportation, and job creation.

We call on the National Assembly, civil society actors, labour unions, and the general public to resist this proposed surcharge in the interest of social justice and economic stability.

Nigeria cannot afford another policy that punishes its most vulnerable. We demand a people-centred approach to governance—one that prioritizes welfare over revenue collection at all costs.