Dare Babalola
The Federal Government has stated that the implementation of the fuel tax won’t happen suddenly.
The Chairman of the Presidential Tax Reform Committee, Taiwo Oyedele, made this known during an interview with Trust Television.
Oyedele explained how his committee intends to implement the new tax laws recently signed by President Bola Ahmed Tinubu, which are expected to take effect in January 2026.
“The law requires a commencement date to be announced and gazetted by the Minister of Finance before it can take effect. So, it cannot just be implemented arbitrarily.
“In fact, the government can even time it so that pump prices do not rise. For example, when the naira appreciates or crude oil prices fall, if you add the surcharge then, the price remains the same. That is the sensible way to go,” Oyedele said.
He also defended the five per cent fuel surcharge currently generating public backlash, insisting it is not a new tax but an existing law that has been dormant since 2007.
He said, “This is not a new tax. It was first introduced into law in 2007, and the intention was to collect that five per cent and use it to fix roads. But it was not implemented because the government was paying a subsidy. The law has always been there.
“The proceeds are to be shared between the federal and state governments, 40 per cent to the centre and 60 per cent to the states.”
He further addressed the issue of lack of trust between the citizens and the government saying, “That is a legitimate concern. The reason why people are angry is because they do not trust the government. The solution is to create a governance structure that ensures transparency and accountability.
“Let’s publish how much you’ve collected and the road you are fixing. Put videos, put photos, and let us track it together. That is how we can build trust.”
