According to Sen. Heineken Lokpobiri, Minister of State for Petroleum Resources (Oil), the Federal Government is committed to guaranteeing the availability and quality control of petroleum products in a deregulated industry.
Shortly after the ministry’s first Petroleum Industry Stakeholders’ Forum on Thursday in Abuja, Lokpobiri informed reporters of this.
He claimed that in a deregulated market, the price of petrol, or Premium Motor Spirit (PMS), is determined by the price of crude oil globally, and Nigeria would not be an exception.
According to reports, the conference provides a wide review of the industry for the stakeholders, with the goal of identifying problems and giving suitable solutions for the sector’s expansion.
Therefore, our concern—which I always bring up with the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPR)—is that the government is more focused on availability and quality control.
“The proper amount’s disposal is what the government is especially interested in.
We have problems if we purchase ten liters of fuel and are not undercharged by the fuel pump pricing.
For deregulation to be effective, prices must stabilize. Fuel subsidies were the subject of unpleasant news until recently, but now that the industry is fully deregulated, there is no news about them.
Fuel prices could rise in tandem with the global oil price. The price may decrease in tandem with the decline in the price of oil.
“And when there is competition, people can choose which fuel station to buy fuel from, which is why there aren’t any lines, which is the true meaning of deregulation,” he continued.
The minister emphasized that the sector’s many taxes and levies, as well as policy tensions, must be addressed.
He stated that the goal of the forum was to unite all of the oil industry’s leaders in order to create a unified front and reach an agreement on issues that would benefit the sector.
He explained, “The goal is to have a one-stop shop where all stakeholders will come together to address issues pertaining to the oil industry and evolve policies.”
Dr. Billy Harry, National President of the Petroleum Retail Outlets Owners Association of Nigeria (PETROAN), also spoke and said that he was eager to cooperate with the government in order to guarantee energy security.
In addition to thanking the minister and all industry players for making it possible for the forum to be created, Harry suggested that it be held every three months to wait for favorable policies.
The Independent Petroleum Marketers Association of Nigeria (IPMAN) National President, Alhaji Abubakar Shettima, praised the first forum and credited the organization’s collaboration with Dangote Refinery for the recent drop in retail fuel prices.
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Shettima verified that, similar to MRS Oil Marketing Company, IPMAN had begun loading fuel from the Dangote refinery at the end of 2024.
According to him, the agreement between MRS, IPMAN, and Dangote refinery resulted in the PMS pricing being lowered to a consistent N935 across all of their locations nationwide.
In addition to other stakeholders, the event included state ministers of petroleum resources (oil and gas), important industry participants, chief executives of regulatory bodies, and industry captains.
