Customs Rolls Out Fresh Guidelines on Duty Waivers for CNG, Electric Vehicle Imports
Customs Rolls Out Fresh Guidelines on Duty Waivers for CNG, Electric Vehicle Imports
The Nigeria Customs Service (NCS) has announced additional implementation guidelines for the fiscal incentives introduced under the Federal Government’s Presidential Gas for Growth Initiative, aimed at accelerating the adoption of cleaner energy technologies and sustainable transportation across the country.
The new guidelines, issued by the Federal Ministry of Finance and unveiled by the NCS on Friday, provide further clarity on the categories of vehicles, equipment and components eligible for exemptions from Import Duty and Value Added Tax (VAT), as well as those that remain subject to existing import charges.
According to a statement signed by the National Public Relations Officer of the Service, Deputy Comptroller of Customs Abdullahi Maiwada, the initiative aligns with President Bola Ahmed Tinubu’s commitment to promoting cleaner energy alternatives, reducing transportation costs and strengthening Nigeria’s energy security.
Under the approved fiscal incentives, the importation of 100 per cent Compressed Natural Gas (CNG) vehicles, 100 per cent Liquefied Petroleum Gas (LPG) vehicles, pure electric vehicles, and Extended Range Electric Vehicles (EREVs) with a minimum electric driving range of 200 kilometres will enjoy exemptions from Import Duty and VAT.
The incentives also cover 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 fitted with skid-mounted Compressed Natural Gas, Liquefied Petroleum Gas and Liquefied Natural Gas (LNG) storage tanks for gas distribution.
The Customs Service, however, 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 statement further clarified that several categories of vehicles and related products 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 systems, non-self-driven semi-trailers and flatbeds, as well as all categories of spare parts.
The NCS said the implementation of the incentives is expected to advance the Federal Government’s broader energy transition agenda by lowering transportation and energy costs, encouraging investment in clean energy infrastructure, expanding the use of alternative fuel technologies and promoting environmental sustainability.
The Service reaffirmed its commitment to the transparent and effective implementation of the policy under the leadership of the Comptroller-General of Customs, Bashir Adewale Adeniyi, and urged importers, licensed customs agents and other stakeholders within the trade ecosystem to comply fully with the approved guidelines and regulatory requirements.
The latest directive is expected to provide greater certainty for importers and investors seeking to participate in Nigeria’s transition to cleaner energy and gas-powered transportation while supporting the country’s long-term economic and environmental objectives.
By TimesNG