Chief executive officer of Gas Initiative Nigeria (GIN), Mr Taiwo Odediran, has called for the removal of the tariffs on the importation of containers of compressed gas (CNG) into Nigeria.

Odediran made the call during an interview with newsmen in Ilorin, Kwara State.

He said the total tariffs as exemplified under the Customs and Excise Tariff (CET), and put at 67.5 percent are antithetical to the growth of Gas Economy Aspiration of President Bola Tinubu-led administration.

Odediran said the newly revised Import Adjustment Tax (IAT) of 40 percentage for containers of compressed and or liquefied gas which has now brought total tariff payable for this item to 67.5 percent is making a mockery of and establishing a direct huddle to the nation's gas economy aspirations.

“It is a mild statement to state that the tariff is bogus and excessive and thus calls for a prompt review. There can be no gas utility without its containment or storage in steel pressure vessels. Gas containers or tanks are a compulsory part of any gas utility infrastructure.

“Sadly, your administration's conscious drive towards a gas-based economy is being threatened by the unrealistic tariff on the Storage Tanks which is one of the key components of Gas Utility as stated above.

“At present, the total tariffs on Gas containers/storage under the Customs and Excise Tariffs (CET) stand at 67.5 percent. These consist of 20 percent ID, 7.5 percent VAT and 49 percentage IAT.”

Odediran said it was surprising to the stakeholders in the gas industry to discover that a gas storage tank, an item crucial to Tinubu's Gas Economy Aspiration, could carry the highest taxes in the whole of the nation's Customs and Excise Tariffs.

He said the “bogus” taxes on such an item, no longer drive the economic sector of any nation, positively.