Customs Sensitisization on Green Tax

Ahead of the July 1 commencement of the federal government’s Green Tax Surcharge on imported vehicles, the Nigeria Customs on June 26, 2026 continued its sensitization of importers, freight forwarders and customs agents.   

The June 26, sensitization programme took place at Apapa Area Command, bringing together Customs officers, licensed customs agents, freight forwarders, importers and other key stakeholders. The gathering explored the theme: “Implementation of the Green Tax Surcharge and Related Fiscal Adjustments.”

The green tax initiative aims to promote environmental sustainability, reduce carbon emissions, and encourage the importation of cleaner vehicles into the country, in line with global environmental standards.

Representing the Comptroller-General of Customs, Adewale Adeniyi, at the sensitization programme, the Zonal Coordinator for Zone A, Mohammed Babadende, noted that the sensitization is intended to provide stakeholders with adequate information before the policy takes effect.

“This sensitization is designed to ensure that every stakeholder clearly understands the policy before implementation. Our objective is to eliminate uncertainty, promote voluntary compliance and guarantee uniform application of the Green Tax Surcharge across all commands,” he said.

The Comptroller in charge of Tariff, System Audit and Coordination, Murtala Muazu, in a technical presentation, explained that the Green Tax Surcharge differs from conventional fiscal measures and would therefore require a distinct assessment process. He informed that the Service has introduced a simplified implementation mechanism through the HS Code declaration platform.

Muazu further disclosed that the Federal Government had simultaneously reduced import adjustment tax (levies) on new vehicles from 20 percent to 10 percent, while unused vehicles have been cut from 15 percent to five percent to cushion the impact of the environmental surcharge.

The Area Controllers present urged importers, licensed customs agents and members of the public to support the initiative. They noted that the reduction in import levies would ease the cost of doing business, facilitate legitimate trade and ultimately reduce transportation costs across the country.

Stakeholders at the event welcomed the initiative but called for sustained public awareness campaigns to ensure broader understanding and compliance as the rollout date approaches.

Meanwhile, the Association of Nigerian Licensed Customs Agents (ANLCA) has called on the federal government to suspend the Green Tax Policy, saying that critical stakeholders have not been carried along in the sensitization exercises by Nigeria Customs Service.

In a statement signed by the association’s President, Emenike Nwokeoji on Monday, the association expressed embarrassment that a fiscal policy of such far-reaching implications on import duty, cargo valuation, contractual obligations, shipping arrangements, and business planning was communicated to only a section of the critical trading community in Lagos barely 72 hours before its proposed implementation.

“Even more astonishing was the extremely late invitation extended to stakeholders for the consultation meeting. Such an approach is insensitive, procedurally defective, and inconsistent with the principles of fairness, inclusiveness, stakeholder engagement, and due consultation that should ordinarily guide the implementation of major public policies,” the statement said.

Continuing, ANLCA said, “Fiscal policies of this magnitude ought to be preceded by adequate notice, extensive consultations with all relevant stakeholders across the country, comprehensive sensitization, and sufficient transitional periods to ensure seamless compliance. Anything short of this undermines confidence in government policies, exposes legitimate businesses to avoidable financial losses, and ultimately erodes the confidence of both local and foreign investors in Nigeria’s trade environment. Of particular concern is the decision to subject shipments that are already in transit to Nigeria to the new levy.

“This amounts to a retrospective fiscal burden on importers and licensed customs agents who had already entered into binding commercial contracts based on the existing tariff regime. Such a development will inevitably result in severe financial losses and unnecessary disputes within the international trading community.

“Furthermore, the stakeholders’ meeting failed to adequately address critical implementation issues. For instance, there was no clear methodology provided for determining engine capacities for the purpose of Green Tax assessment.

“This ambiguity is capable of creating confusion, inconsistent assessments, avoidable disputes, and ultimately leaving the trading public at the discretion of individual assessment officers,” the association maintained.

The association said while it is not challenging the authority of the federal government to formulate or implement fiscal policies, it however demands immediate suspension or postponement of the implementation of the Green Tax Policy until adequate stakeholder consultations have been conducted nationwide.

“ANLCA remains committed to constructive engagement with the Federal Government and the Nigeria Customs Service in pursuit of policies that promote legitimate trade while achieving national objectives.”

The association of customs brokers requested for publication and wide circulation of detailed implementation guidelines, including the methodology for tax assessment, valuation parameters, and operational procedures, provision of a reasonable transition period that will enable businesses to adjust existing contractual obligations and shipping arrangements without suffering avoidable financial losses.

The association reiterated its readiness to engage constructively with the Nigeria Customs Service and other relevant government agencies to develop a realistic implementation timeline and practical guidelines that will protect legitimate trade while aligning with international best practices.

Photo: Zonal Coordinator, Zone A of Customs, ACG Mohammed Babandede (3rd from left) and Comptrollers of various commands at the sensitization exercise.

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