The Federal Government has scheduled July 23 and 24, 2025, for a national stakeholder forum aimed at tackling rising concerns surrounding petrol pricing and supply issues in the downstream sector, as independent marketers intensify their push for regulated pricing.
The summit, being organised by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), will convene industry stakeholders including operators, marketers, refiners, and government representatives to discuss pricing standards, the adequacy of feedstock, and approaches to stabilise the deregulated petroleum market.
Francis Ogaree, the Executive Director of Hydrocarbon Processing Plants, Installation, and Transportation Infrastructure at the NMDPRA, confirmed the summit dates during the recently concluded 24th Nigeria Oil and Gas Energy Week held in Abuja.
Ogaree emphasised the importance of stakeholder engagement to develop a robust and sustainable pricing structure in the aftermath of fuel subsidy removal. This comes amid widespread discontent among marketers regarding sudden price shifts in Premium Motor Spirit (PMS), or petrol, reportedly occurring without prior notice from the Dangote refinery.
Billy Gillis-Harry, President of the Petroleum Products Retail Outlets Owners Association of Nigeria, has consistently underscored the need for a stable energy market and long-term energy security, urging for systems that monitor and manage price volatility to safeguard the industry.
Gillis-Harry has also advocated for pricing transparency, especially with regard to the implications of Dangote’s price cuts on retailers who had purchased fuel at previously higher rates. He further called for equitable pricing and a crackdown on exploitative practices within the sector.
Similarly, the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) last month challenged the existing pricing structure, accusing petroleum marketers of taking advantage of consumers by inflating petrol prices. The union insisted that the pump price for PMS should ideally fall within the N700 to N750 per litre range.
In response to these criticisms, Ogaree stated that the NMDPRA is aware of the operational challenges facing industry stakeholders and has been working to introduce pricing benchmarks while also encouraging greater investment in domestic refining.
Speaking during a panel discussion titled “Building a resilient and competitive refining sector,” he said, “We are engaging stakeholders at our forum, where we address the issues and proffer solutions. I would like to remind you that the NMDPRA has only been in existence for three and a half years. And in that period, we have achieved giant strides in the number of licenses we have given and in addressing the issues.”
He continued, “Even on the issue of petroleum pricing, which is another one that we are facing now and relates to standardization. It is a work in progress, and that is why at the latter part of this month, exactly on July 23 to 24, a two-day event, we will be talking about petrol pricing. Again, that is to allay some fears and put in some standards. The issue of pricing, everyone knows that it is a sensitive one and peculiar from one country to another, and the authority is working.”
Discussing the country’s refining outlook and future fuel supply stability, Ogaree noted that Nigeria now boasts 10 refineries both operational and nearing completion including the three Nigerian National Petroleum Company (NNPC) refineries, the 650,000-barrels-per-day Dangote refinery, and six modular refineries.
He added that several of the upcoming refineries would require between 1,000 and 200,000 barrels of crude oil per day and are projected to begin operations by 2026.
“We have about 10 refineries right now. The three Nigerian National Petroleum Company refineries. We have Dangote refinery and six modular refineries. When I look at the combined capacity for those refineries, we need about 1,124,000 barrels per day.”
However, Ogaree cautioned that the success of the downstream sector would depend heavily on the availability of crude feedstock to meet the demands of the increasing number of licensed refiners.
“We know our current production capacity. These are just operating refineries. When I think about new refineries coming up very soon. Some of them need 200,000 barrels to 1,000 barrels, and I compute them together. Some of them would be on onstream by 2026.
“You know that this number of barrels has to grow, and there has to be more production if we are to meet up. The apparent fear, and I must be sincere, is on the feedstock. We have given out 47 licenses, all of which are to do establishments, construction, and they all go into operation. We must be able to meet their demands when they all go on stream.”
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