FG Removes VAT on Cooking Gas and Diesel to Ease Economic Hardship

The Federal Government has announced the removal of value-added tax (VAT) on essential energy products such as diesel and cooking gas, a move aimed at alleviating the current economic hardship faced by Nigerians.

According to a statement from Mohammed Manga, Director of Information at the Ministry of Finance, the VAT exemption is part of a broader strategy under the VAT Modification Order 2024, designed to reduce the cost of living and accelerate Nigeria’s transition to cleaner energy sources.

 “These measures are designed to lower the cost of living, bolster energy security, and accelerate Nigeria’s transition to cleaner energy sources,” Manga stated.

Moreover, the initiative also includes tax incentives for deep offshore oil and gas production, further positioning Nigeria as a premier destination for global energy investments.

The government’s move comes at a time when Nigerians are grappling with rising costs, and the removal of VAT on these critical products is seen as a necessary step to provide some relief.

 However, citizens are calling on the government to ensure that these initiatives are implemented promptly and transparently.

Many hope that this will be the first in a series of reforms to ease the economic strain on the population.

The government’s success in following through on these promises could restore trust and signal a renewed commitment to the welfare of Nigerians.