The Federal Government on Monday held a closed-door meeting with the management of Dangote Refinery and key players in the downstream petroleum sector as part of efforts to accelerate a reduction in the pump price of Premium Motor Spirit (PMS), popularly known as petrol.
The meeting, taking place at the headquarters of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) in Abuja, brought together representatives of the Dangote Refinery, the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), the Federal Competition and Consumer Protection Commission (FCCPC), and other major industry stakeholders.
Also in attendance were chief executives and representatives of TotalEnergies, Eterna Plc, Matrix Energy, the Major Energy Marketers Association of Nigeria (MEMAN), the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN), the Independent Petroleum Marketers Association of Nigeria (IPMAN), the Nigerian Association of Road Transport Owners (NARTO), depot operators, petroleum retailers, and senior officials of the NMDPRA.
The meeting comes days after the FCCPC expressed concern over what it described as the slow pace of petrol price reductions by refiners, depot operators, marketers and retailers despite the sustained decline in global crude oil prices.In a statement issued by its Director of Corporate Affairs, Ondaje Ijagwu, the Commission warned that operators found exploiting consumers through unfair pricing practices could face regulatory sanctions.
According to the FCCPC, its ongoing monitoring of the downstream petroleum sector indicates that recent reductions in gantry and retail prices have not been commensurate with the sharp decline in international crude oil prices.
Speaking at the meeting, the Authority Chief Executive of the NMDPRA, Rabiu Umar, said the engagement was convened at the directive of the Minister of State for Petroleum Resources (Oil), Senator Heineken Lokpobiri, to foster collaboration among stakeholders on pricing and market stability.
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Umar noted that Nigeria had experienced significant volatility in the international crude oil market over the past six months but said global market conditions had recently improved, resulting in a moderation of crude oil prices.
“We have witnessed a welcome easing of those tensions, which has driven a downward shift and moderation in global crude oil prices,” he said.
He, however, observed that the domestic retail market had yet to reflect the full impact of the international price decline.
“Our objective is not to dictate prices but to collaborate with stakeholders. We want to engage in an open, transparent and solution-oriented dialogue. We want to hear your challenges, discuss market surveillance, examine inventory management issues, and align on how we can collectively accelerate key initiatives such as the National Strategic Stock to strengthen Nigeria’s energy security,” Umar said.
The meeting is expected to produce measures aimed at ensuring that the benefits of lower international crude oil prices are passed on to Nigerian consumers through more affordable petrol prices.
