The Nigerian Association of Liquefied Petroleum Gas Marketers (NALPGAM), has commended the decision of the Federal Government to remove Value Added Tax (VAT) from domestically produced Liquefied Petroleum Gas otherwise known as Cooking Gas.
According to the association, the Federal Government signed the approval of VAT removal on LPG and gazetted same, after several pleas by operators for the removal. Meanwhile, the group also appealed for a reduction on import duty on LPG equipment and accessories.“On behalf of the Governing Council and members of the Nigerian Association of Liquefied Petroleum Gas Marketers (NALPGAM), the President of our association, Nosa Ogieva-Okunbor, wishes to express his profound gratitude and thanks to the Federal Government and all relevant Government agencies for listening to our plea to remove VAT from LPG products sourced locally. “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. “The directive that all skid plants in filling stations be dismantled and removed was apt considering the huge danger and risk to the public in the operations of LPG Skid plants in filling stations. We, however, appeal for proper and thorough implementation of the directive in all States of the Federation”, the Association said in a statement. The association, however, urged the federal government to create a more conducive and enabling environment for investors in the industry, noting that deepening the consumption of LPG in the country has become a major interest of the Government and marketers towards ensuring the success of the programme. “The increased awareness of LPG usage has seen consumption in Nigeria growing from 50,000MT in 2007 to over 600,000MT in 2018 with more indigenous investments in LPG bottling plants. This thus 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”, the operators added.

Source: Guardian

Contact InnerKonsult for Professional Services on Tax, Accountancy and CAC Services. O8038460036, www.innerkonsult.com