- The Independent Petroleum Marketers Association of Nigeria has appealed to the Federal Government to sustain open fuel importation licences, arguing that robust market competition alongside local refining will aggressively drive down retail prices.
- The Ministry of Petroleum Resources has criticized local oil marketers for keeping domestic pump prices elevated despite a substantial drop in international crude oil benchmarks down to 71 dollars per barrel.
- IPMAN leadership noted that its members have already implemented a nationwide price reduction of 125 naira per litre and are prepared to crash petrol costs below 800 naira per litre if favorable procurement terms are solidified with depot owners and the Dangote refinery.
Independent petroleum marketers have intensified pressure on the federal government to fully restore independent fuel importation rights, projecting that the local retail price of Premium Motor Spirit could fall well below 800 naira per litre.
Eko Hot Blog reports that this development unfolded during an emergency downstream stakeholders’ meeting convened on Monday by the Nigerian Midstream and Downstream Petroleum Regulatory Authority in Abuja.
EDITOR’S PICK
- Hamzat Appoints Obanikoro as Campaign DG Ahead of 2027 Lagos Governorship Race
- Tinubu’s State Police Plan Gains Momentum as Amendment Looms
- Residents Raise Alarm After Two Bodies Found in Lagos Waterway
The regulatory intervention was triggered by a growing disconnect between declining international crude oil costs and sticky, elevated domestic petrol pump prices.
The high-level strategy session featured key sector regulators and major distribution unions, including the Federal Competition and Consumer Protection Commission, the Independent Petroleum Marketers Association of Nigeria, the Major Energy Marketers Association of Nigeria, and the Nigerian Association of Road Transport Owners.
Executive delegates from prominent energy corporations such as TotalEnergies, Eterna Plc, Matrix Energy Group, and the Dangote Petroleum Refinery were also present to address the pricing friction.
IPMAN National President, Abubakar Maigandi, emphasized that allowing independent marketers to source and import fuel directly alongside purchasing from local installations would stimulate competitive market pricing.
He confirmed that independent retail stations have already slashed pump prices by 125 naira per litre nationwide, reacting to initial direct purchase agreements finalized with the Dangote refinery.
Maigandi expressed confidence that as commercial terms improve, the public will experience immediate financial relief at retail fuel pumps.
The Minister of State for Petroleum Resources (Oil), Senator Heineken Lokpobiri, directly challenged downstream operators for maintaining high energy tariffs based on expensive previous inventories.
He noted that while global Brent crude surged above 118 dollars per barrel in April due to geopolitical conflicts in the Middle East, prices have since declined sharply to approximately 71 dollars per barrel.
The minister insisted that the economic benefits of lower crude replacement costs must be transparently passed down to Nigerian consumers rather than being absorbed as windfall profits by distributors.
Concurrently, Authority Chief Executive of the NMDPRA, Rabiu Umar, stated that the regulatory agency will continue to monitor compliance to protect public welfare in the post-subsidy era.
Umar highlighted a recent collaborative intervention in the domestic cooking gas market which successfully triggered a significant decline in Liquefied Petroleum Gas prices nationwide.
The regulatory authority maintained that while deregulation is vital to foster long-term investment, it should not be leveraged as an administrative blanket for market distortions or excessive consumer exploitation.
