The Federal Government on Monday convened a high-level meeting with key operators in the downstream petroleum sector, including Dangote Refinery, marketers, regulators and consumer protection agencies, to explore measures for ensuring that recent declines in global crude oil prices translate into lower pump prices of Premium Motor Spirit (PMS) across the country.
The meeting, held at the headquarters of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) in Abuja, followed a directive by the Minister of State for Petroleum Resources (Oil), Senator Heineken Lokpobiri, urging petroleum marketers to reduce the prices of petrol and other refined products in line with easing international oil prices.
Participants included representatives of Dangote Refinery, the Federal Competition and Consumer Protection Commission (FCCPC), the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), the Major Energy Marketers Association of Nigeria (MEMAN), the Independent Petroleum Marketers Association of Nigeria (IPMAN), the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN), the Depot and Petroleum Products Retailers Association, the Nigerian Association of Road Transport Owners (NARTO), as well as leading downstream operators including TotalEnergies, Eterna and Matrix Energy.
Speaking at the opening session, Lokpobiri said the meeting was aimed at building consensus among industry stakeholders on achieving fair and cost-reflective pricing of petrol under the deregulated market regime.
He noted that while the downstream sector had been deregulated, the policy was not intended to encourage excessive profiteering at the expense of consumers.
According to the minister, the recent decline in Brent crude oil prices should ordinarily be reflected in domestic pump prices, stressing that the government remained committed to protecting consumers while preserving the gains of deregulation.
“The government is committed to protecting the interests of stakeholders, the common man and the deregulation of the sector,” he said.
The Authority Chief Executive of the NMDPRA, Rabiu Abdullahi Umar, said the meeting was convened to encourage collaboration rather than impose price controls on market operators.
He observed that although global crude oil prices had moderated in recent months following earlier volatility, retail fuel prices in the domestic market had yet to adjust proportionately.
“Our objective is not to dictate but to collaborate,” Umar said, adding that the discussions would focus on pricing transparency, market surveillance, inventory management and the implementation of strategic measures, including the National Strategic Stock, to strengthen Nigeria’s energy security.
Following the opening remarks, journalists were asked to leave as participants proceeded into a closed-door session.
The meeting comes amid growing pressure on refiners, depot owners and marketers to pass on lower international crude prices to consumers.
Separately, the FCCPC expressed concern over what it described as the slow pace of reductions in petrol prices despite the significant fall in crude oil prices on the international market.
In a statement issued by its Director of Corporate Affairs, Ondaje Ijagwu, the commission said its monitoring of the downstream petroleum sector showed that recent reductions in depot and retail prices did not adequately reflect movements in global crude prices.
The consumer protection agency warned that operators found engaging in exploitative or unfair pricing practices could face regulatory sanctions, reaffirming its commitment to promoting competition and protecting consumers in the deregulated downstream petroleum market.