The Sea Empowerment and Research Centre (SEREC) has urged the Federal Government to ensure that the implementation of the Green Tax Surcharge policy is carried out within a transparent, predictable and inclusive framework that protects legitimate trade, strengthens investor confidence, enhances port competitiveness and aligns with the country’s international trade obligations.

Under the environmental fiscal measures, which commenced on July 1, 2026, imported vehicles with engine capacities between 2,000cc and 3,999cc attract a two per cent green tax surcharge, while vehicles with engine capacities of 4,000cc and above, including luxury vehicles and large Sports Utility Vehicles (SUVs), are subject to a four per cent surcharge.

SEREC, in its latest policy bulletin, signed by its Head of Research, Eugene Nweke, acknowledged the importance of integrating climate considerations into fiscal policy and warned that Nigeria must ensure the green tax policy serves as an environmental reform mechanism rather than merely another revenue-generation initiative.

SEREC stressed that Nigeria’s maritime logistics environment is already burdened by numerous statutory taxes, port charges, shipping fees, terminal handling costs, storage charges, demurrage, regulatory levies and administrative expenses imposed by various government agencies.

According to the centre, the cumulative effect of these charges significantly increases cargo landing costs, weakens port competitiveness, raises production costs, and ultimately shifts the financial burden onto businesses and consumers.

The research group further noted that West African ports are increasingly competing for regional cargo traffic, with importers assessing ports based on the quality of infrastructure, total logistics costs, customs efficiency, regulatory certainty, cargo dwell time and the ease of cargo clearance.

SEREC, however, stressed that for the green tax policy to gain credibility, the Federal Government must complement it with tariff concessions, tax incentives, regulatory support and investment in the green economy.

These, it noted, should include reduced import duties on renewable energy equipment, preferential tariffs for electric vehicles, customs concessions for environmentally friendly industrial machinery, tax rebates for green manufacturing investments and accelerated approval processes for sustainable technologies.

SEREC further advocated establishing a National Port Pricing and Trade Cost Review Framework, under which every proposed port-related tax, levy, surcharge, tariff adjustment, or environmental charge would undergo an independent economic impact assessment before implementation.