The Federal Government has announced plans to introduce a compulsory vehicle recycling fee beginning in 2026, as part of broader efforts to address environmental sustainability and manage end-of-life vehicles across the country.
According to officials familiar with the policy, the proposed fee will apply to vehicle owners and importers, and is aimed at funding structured recycling systems for old, damaged, and abandoned vehicles.
The initiative is expected to reduce environmental pollution, improve road safety, and support the development of a formal automotive recycling industry in Nigeria.
Authorities say the policy will also help curb the circulation of unsafe vehicles, encourage proper disposal practices, and create new opportunities for employment within the recycling and manufacturing value chain.
Further details on implementation, pricing structure, and exemptions are expected to be released ahead of the 2026 rollout.
