The Nigeria Customs Service (NCS) has announced additional implementation guidelines for the fiscal incentives introduced under the Presidential Gas for Growth Initiative, providing greater clarity on the categories of environmentally friendly vehicles and equipment eligible for import duty and Value Added Tax (VAT) exemptions.
According to an official statement signed by the National Public Relations Officer of the Nigeria Customs Service, Deputy Comptroller of Customs Abdullahi Maiwada, the guidelines, issued by the Federal Ministry of Finance, are part of efforts by President Bola Ahmed Tinubu to promote cleaner energy alternatives and accelerate the adoption of sustainable transportation solutions across the country.
The statement explained that approved incentives cover the importation of 100 per cent Compressed Natural Gas (CNG) vehicles, 100 per cent Liquefied Petroleum Gas (LPG) vehicles, pure electric vehicles, Extended Range Electric Vehicles (EREVs) with a minimum electric 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 equipped with skid-mounted CNG, LPG and Liquefied Natural Gas (LNG) storage tanks for gas distribution.
It stated that importers intending 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 requirements governing the importation of eligible items.
The Service, however, clarified that several categories of vehicles and related items remain excluded from the exemptions and will continue to attract import duty and VAT. These include hybrid electric vehicles powered by combinations of electricity and petrol or diesel, dual-fuel internal combustion engine vehicles designed for CNG/petrol or CNG/diesel operations, luxury vehicles valued at 100,000 US dollars and above, CNG vehicles converted abroad without factory-fitted CNG systems, semi-trailers and flatbeds that are not self-propelled, as well as all categories of spare parts.
According to the statement, the fiscal incentives are designed to advance the Federal Government’s broader agenda of lowering transportation and energy costs, stimulating investment in clean energy infrastructure, promoting wider adoption of alternative fuel technologies, and strengthening Nigeria’s energy security while supporting environmental sustainability.
The Nigeria Customs Service reaffirmed its commitment to ensuring the transparent and effective implementation of the incentives under the leadership of the Comptroller-General of Customs, Adewale Adeniyi. The Service also urged importers, licensed customs agents and other stakeholders within the trade ecosystem to strictly comply with the approved guidelines and all relevant regulatory requirements.
