National Telescope national telescope newspaper
The Federal Government has announced a new fiscal regime for Nigeria’s oil and gas sector, introducing wide-ranging tax exemptions to attract fresh investments and revitalize the industry.
Tax Exemptions Introduced:
- Value Added Tax (VAT) Modification Order 2024: Exemptions on key energy products and infrastructure, including:
- Diesel
- Feed Gas
- Liquefied Petroleum Gas (LPG)
- Compressed Natural Gas (CNG)
- Electric Vehicles
- Liquefied Natural Gas (LNG) infrastructure
- Clean Cooking Equipment ¹
- Notice of Tax Incentives for Deep Offshore Oil & Gas Production: New tax reliefs for deep offshore projects.
According to Minister of Finance, Mr. Wale Edun, these concessions aim to attract new investments, lower the cost of living, bolster energy security, and accelerate Nigeria’s transition to cleaner energy sources. The reforms are part of President Bola Tinubu’s investment-driven policy initiatives, in line with Policy Directives 40-42.
Mr. Edun expressed optimism that this initiative will reposition Nigeria’s deep offshore basin as a premier destination for global oil and gas investments, demonstrating the administration’s commitment to fostering sustainable growth, enhancing energy security, and driving economic prosperity for all Nigerians.
