Nigerians have begun to express their dissatisfaction with a recent 5% fuel tax set to take effect in January 2026.
Pan-Atlantic Kompass observed that the fuel tax was part of the tax reform bills signed into law by President Bola Ahmed Tinubu on June 26, 2025.
According to this new tax regulation, Nigerians are now expected to pay a “5% surcharge that is chargeable on fossil fuel products provided or produced in Nigeria”, a fee which, according to the stipulation of the act, “shall be collected at the time of a chargeable transaction, meaning at the point of sale”.
It was also gathered that the 5% fuel tax will only apply to petrol, diesel, and other petroleum products, with exemptions for household kerosene, cooking gas, and compressed natural gas (CNG).
However, public reaction has been marked by frustration, with many Nigerians lamenting the new tax.
In his reaction, Peter Obi, the 2023 presidential candidate of the Labour Party, has criticised President Bola Tinubu’s decision to impose a 5% tax on all refined fuel sales.
Obi, in a post late Wednesday, argued that this move will further burden Nigerians who are already struggling with transportation costs.
He said: “When will Nigerians truly breathe? A timely and relevant question, as a new 5% tax on all refined fossil fuel sales, including petrol and diesel, has just been announced by the Federal Government.
“That is, Nigerians will pay a 5% tax when buying their everyday fuel or diesel at a time when millions can hardly even afford the cost of transportation.
“Mr. President just yesterday boasted that Nigeria has met its revenue target for the year. Yet instead of easing hardship, the government imposes more burden on Nigerians.
“Even the so-called alternative, CNG, has become unaffordable, rising from about ₦230 to ₦450, while the promised subsidies on the CNG have quietly vanished.
“If our revenues are truly ‘excessive’ as claimed, should they not first be used to fund education, healthcare, and pulling Nigerians out of poverty? Why tax citizens who cannot even breathe anymore?
“This 5% fuel tax should wait until Nigerians begin to see tangible improvements in their lives from all the many promises from Mr. President.
“Leadership is not about giving a burden, it is about reducing suffering, it is about care and compassion.”
Below are some other reactions from Nigerians;