The African Democratic Congress (ADC) has warned that the proposed five per cent fuel tax could push petrol prices above ₦1,500 per litre, further increasing the cost of living for Nigerians.
In a statement issued on October 20, 2026, the party alleged that President Bola Tinubu’s administration could delay implementing the tax until after the 2027 presidential election, describing the move as another potential burden on citizens already struggling with rising living costs.
The warning followed comments by the Minister of Finance, Taiwo Oyedele, who reportedly said on the sidelines of an International Monetary Fund meeting in Bangkok, Thailand, that the government would introduce the fuel tax when economic conditions improve.
However, ADC National Publicity Secretary, Bolaji Abdullahi, claimed that the government’s decision not to implement the tax was linked to the forthcoming election.
According to Abdullahi, the five per cent fuel tax is already provided for under the Nigeria Tax Act, which he said President Tinubu signed into law in June 2025.
He alleged that the administration could announce its implementation after securing re-election, drawing a comparison with Tinubu’s announcement of the removal of fuel subsidy during his inauguration in May 2023.
The party also raised concerns about the possible effect of the tax on petrol prices and the wider economy.
Using a pump price of ₦1,450 per litre as an example, the ADC said a five per cent surcharge would increase the price to ₦1,522.50 per litre if passed directly to consumers.
It warned that such an increase could further affect transportation fares, food distribution, small businesses and household spending, placing additional pressure on families and businesses already dealing with high operating costs.
The party criticised the administration’s economic policies, arguing that Nigerians need measures that ease financial pressure rather than additional charges.
“The government should be discussing relief, not preparing additional taxes,” the party said, insisting that citizens were already facing significant economic challenges following the removal of fuel subsidy.
The ADC also questioned the government’s stated justification for the proposed tax, which it said was intended to support road infrastructure and fuel-price stabilisation. It maintained that Nigerians should see measurable improvements in infrastructure and economic conditions before being asked to bear additional costs.
In its statement, the party recalled that Tinubu, while serving as governor of Lagos State in December 2003, had opposed a fuel tax contemplated by the administration of former President Olusegun Obasanjo, reportedly describing it as double taxation.
The ADC argued that the position raised questions about the proposed tax under Tinubu’s current administration.
The party subsequently urged Nigerians to support its proposed fuel production subsidy, which it said was being advocated by its presidential candidate, Atiku Abubakar.
According to the ADC, the proposal would help reduce fuel prices and ease the broader cost-of-living crisis.
The claims and projections in the statement reflect the ADC’s position on the proposed tax. The party’s warning that the measure could be implemented after the election was presented as an allegation, rather than a confirmed government plan.
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