The Federal Government is holding a closed-door meeting with the management of the Dangote Refinery and key stakeholders in the downstream petroleum sector as it seeks to facilitate a reduction in the pump price of Premium Motor Spirit (PMS), commonly known as petrol.
The meeting, taking place on Monday at the headquarters of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) in Abuja, is attended by officials of the Federal Competition and Consumer Protection Commission (FCCPC), petroleum marketers, refiners and other industry stakeholders.
Participants include representatives of TotalEnergies, Eterna, Matrix Energy, the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), 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), as well as officials of the NMDPRA.
The meeting comes days after the FCCPC expressed concern over what it described as the slow pace of reductions in petrol prices despite a sustained decline in global crude oil prices.
In a statement issued by its Director of Corporate Affairs, Ondaje Ijagwu, the commission warned that refiners, depot operators, marketers and retailers engaging in unfair pricing practices could face regulatory action.
The FCCPC said its monitoring of the downstream petroleum sector showed that recent reductions in depot and retail prices had not reflected the scale of the decline in international crude oil prices.
Speaking at the meeting, the Chief Executive of the NMDPRA, Rabiu Umar, said the engagement was convened at the directive of the Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri.
Umar said Nigeria had experienced significant volatility in the international crude oil market over the past six months but noted that easing geopolitical tensions had contributed to a moderation in global 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 added, however, that domestic retail fuel prices had yet to respond fully to the changes in the international market.
According to Umar, the government’s objective is to work collaboratively with industry operators rather than impose prices.
“We want to engage in an open, transparent, and solution-oriented dialogue. We want to hear your challenges, discuss market surveillance, look into inventory management, and align on how we can collectively accelerate key mechanisms like the National Strategic Stock to protect our national energy security,” he said.
Earlier, Lokpobiri urged petroleum marketers to reduce the pump prices of petrol and other petroleum products to reflect the recent fall in global crude oil prices.
Addressing participants at the meeting, the minister said the engagement was aimed at identifying practical solutions to challenges affecting the downstream petroleum sector.
He called on stakeholders to find common ground on lowering the price of PMS, noting that the cost of petrol and Automotive Gas Oil (AGO), commonly known as diesel, has a direct impact on all sectors of the economy.
Lokpobiri said the deregulation of the downstream petroleum sector should not be used to justify excessive profiteering.
“Since Brent crude prices have declined, there is no justification for PMS prices not to reflect the reduction,” he said.
