THE removal of Value Added Tax, VAT, on cooking gas produced in Nigeria by the government has been welcomed by members of the Nigerian Association of Liquefied Petroleum Gas Marketers, NALPGAM.

Nosa Ogieva-Okunbor, the President, Nigerian Association of Liquefied Petroleum Gas Marketers, has on behalf of the Governing Council, expressed his profound gratitude to the Federal Government and all relevant government agencies for listening to the association’s plea for VAT removal from LPG sourced locally.

For the association, it was good news and for the LPG industry, when the news broke that the Federal Government has finally approved VAT removal on LPG and gazetted same which makes it an official pronouncement.

Ogieva-Okunbor said: “We also want to use this opportunity to thank and appreciate the Department of Petroleum Resources (DPR) for the timely directive stopping the inappropriate and indiscriminate installation of skid plants in petrol stations.

“We, however, appeal for proper and thorough implementation of the directive in all states of the federation.

“The association still pleads with the government to create a more conducive and enabling environment for investors in the industry, particularly now that deepening the consumption of LPG in the country has become a major interest of the government and marketers are geared towards ensuring the success of the programme by complementing the efforts of the government.

“We, therefore, appeal for a reduction on import duty on LPG equipment and accessories,” he said.

According to him, the increase in awareness of LPG usage has seen consumption in Nigeria growing from 50,000 metric tonnes (MT) in 2007 to over 600,000MT in 2018 with more indigenous investments in LPG bottling plants.

This, he noted, will ensure that majority of Nigerians enjoy the convenience of the proximity of LPG refill or exchange points.

“We implore the federal and state governments to initiate a well-funded social welfare programme to expand usage of LPG,” he added.  – Nation

– May 30, 2019 @ 18:25 GMT |