By Abigail David
The Federal Government has directed the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to ensure petroleum marketers do not exploit consumers through excessive fuel pricing despite the deregulated downstream market.
Minister of State for Petroleum Resources (Oil), Senator Heineken Lokpobiri, gave the directive on Monday in Abuja during the NMDPRA General Counsel and Legal Advisers Forum.
Lokpobiri said the recent decline in global crude oil prices following eased tensions in the Middle East should be reflected in lower pump prices for Premium Motor Spirit (PMS), commonly known as petrol. He noted that marketers have yet to reduce prices despite crude oil falling from about $120 to around $72 per barrel.
He stressed that while market forces determine prices under deregulation, the regulator has a statutory duty under the Petroleum Industry Act (PIA) to prevent profiteering and protect consumers. He also directed the NMDPRA to intensify monitoring to ensure motorists receive the exact quantity of fuel paid for at filling stations.
The minister credited fuel supply stability during recent geopolitical tensions to the deregulated downstream sector and increased domestic refining capacity, while urging regulators to promote transparency, regulatory certainty and investment confidence.
NMDPRA Chief Executive Rabiu Umar said the agency remains committed to creating a predictable regulatory environment that supports investment and industry growth.
Meanwhile, depot petrol prices recorded slight reductions across Lagos, Port Harcourt, Calabar and Warri, with adjustments ranging between ₦1 and ₦6 per litre, indicating gradual moderation in the downstream market.
Reacting to the pricing situation, Managing Director of 11 Plc, Osagie Ogedegbe, said the Dangote Refinery currently exerts significant influence on petrol pricing because it is the primary supplier to marketers.
The Nigeria Labour Congress (NLC) also called on the Federal Government to strengthen regulatory oversight, dismantle monopolistic practices and promote genuine competition to ensure Nigerians benefit from lower international crude oil prices.
