NMDPRA reaffirms deregulated fuel market, intensifies consumer protection measures

By Musa Ubandawaki, Sokoto

The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has reaffirmed that Nigeria’s downstream petroleum market remains fully deregulated, stressing that petrol prices are determined by market forces rather than government directives.

Speaking in Sokoto, the State Coordinator of NMDPRA, Ali Ajmi, said the authority had not received any directive from its headquarters fixing a uniform pump price for Premium Motor Spirit (PMS), also known as petrol.

Ajmi explained that under the deregulated regime, petroleum marketers are expected to source products independently and determine pump prices based on prevailing market conditions, transportation costs, supply dynamics and other operational factors.

“As it stands today, the market is deregulated and prices are determined by market forces. Companies are expected to source products and sell according to market realities. We have not received any written directive from our headquarters specifying how much marketers should sell petrol,” he said.

He noted that petrol prices in Sokoto and neighbouring areas currently range between ₦1,000 and ₦1,200 per litre, adding that the authority is engaging marketers to promote fair pricing and discourage arbitrary increases.

Ajmi attributed higher fuel prices in the North-West to logistics challenges, particularly the long distance between coastal depots and inland states such as Sokoto, which increases transportation costs and delivery times.

He explained that petroleum products transported from coastal depots can take up to 10 days to reach Sokoto due to distance and road conditions, factors that influence distribution costs.

The NMDPRA coordinator said the authority maintains regular engagement with marketers through inspections, consultations and stakeholder meetings aimed at improving product supply and addressing pricing concerns.

On consumer protection, Ajmi warned filling station operators against under-dispensing petroleum products, saying the authority had strengthened its surveillance and enforcement activities.

He urged consumers to report any filling station suspected of under-dispensing or selling substandard products, noting that NMDPRA inspection teams are equipped with calibrated measuring devices and quality testing equipment to verify complaints.

According to him, inspection teams operate daily and can carry out enforcement activities at any time when necessary.

Ajmi also disclosed that the authority is collaborating with the Sokoto State Ministries of Energy, Commerce and Industry, as well as other stakeholders, to strengthen consumer protection, improve regulatory compliance and promote transparency and stability in the downstream petroleum sector.

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