CAPPA Applauds Senate Over SSB Tax Reform Bill, Urges House Concurrence

Senator Ipalibo Banigo

Corporate Accountability and Public Participation Africa (CAPPA) has commended the Nigerian Senate for passing a bill seeking to reform the country's tax on Sugar-Sweetened Beverages (SSBs), describing the move as a major step toward improving public health outcomes.

The bill proposes replacing the existing N10-per-litre excise duty on sugary drinks with a percentage-based levy linked to retail prices, while also allocating part of the revenue generated to health promotion and disease prevention initiatives.

In a statement issued on Wednesday, CAPPA's Executive Director, Akinbode Oluwafemi, described the Senate's decision as a bold and evidence-based policy intervention aimed at addressing Nigeria's growing burden of non-communicable diseases (NCDs).

According to him, the passage of the bill demonstrates the Senate's responsiveness to the country's public health challenges and reflects a commitment to policies that prioritise the well-being of Nigerians.

CAPPA also praised the sponsor of the bill, Senator Ipalibo Banigo, for championing public health legislation. The organisation highlighted her role in the successful passage of the National Health Act Amendment Bill in April 2026, which increased funding for the Basic Health Care Provision Fund from one per cent to two per cent of the Consolidated Revenue Fund.

The group noted that dedicating a portion of SSB tax revenue to health programmes would provide additional resources for improving healthcare delivery and strengthening disease prevention efforts.

Emphasising the urgency of the legislation, CAPPA pointed to the increasing prevalence of non-communicable diseases such as Type 2 diabetes, hypertension, cardiovascular diseases, obesity and dental conditions across the country.

The organisation cited public health data indicating that nearly one in three deaths in Nigeria is linked to NCDs, while more than 11 million Nigerians are living with diabetes, placing significant pressure on families and the healthcare system.

CAPPA argued that excessive consumption of sugar-sweetened beverages, particularly among young people, is a major contributor to the growing health crisis.

It maintained that the current N10-per-litre tax introduced under the Finance Act has not been sufficient to reduce consumption or achieve meaningful public health benefits.

According to the organisation, transitioning to a price-based tax system aligns with recommendations by the World Health Organization (WHO), which advocates health taxes that significantly increase retail prices to discourage consumption of unhealthy products.

The group further welcomed the bill's provision for earmarking part of the revenue for health-related programmes, describing it as a crucial mechanism for strengthening Nigeria's underfunded health sector and expanding access to preventive healthcare services.

While applauding the Senate's action, CAPPA stressed the need for transparency and accountability in the management of the proposed funds to ensure they are used effectively and in the public interest.

The organisation called on the House of Representatives to swiftly concur with the Senate and facilitate the transmission of the bill for presidential assent.

"Nigeria cannot afford to delay," Oluwafemi said, noting that strengthening the SSB tax regime represents not only a fiscal policy measure but also a critical public health intervention capable of reducing disease burden and saving lives.

CAPPA reiterated that a stronger sugar-sweetened beverage tax, backed by dedicated funding for health initiatives, would help improve national health outcomes and protect future generations from preventable diseases.