The Federal Government is tightening oversight of petrol pricing after filling stations across several parts of Nigeria raised pump prices, following a price adjustment by Dangote Petroleum Refinery. The Dangote refinery increased its Premium Motor Spirit (PMS) ex-gantry price from N1,265 to N1,350 per litre, a rise of N85, representing about 6.7%, citing higher international crude oil prices. In response, some major filling station operators have adjusted their pump prices, with motorists now paying between N1,395 and N1,460 per litre in parts of the country.
FCCPC and NMDPRA Sign Oversight Deal
To address concerns about market conduct, the Federal Competition and Consumer Protection Commission (FCCPC) and the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) signed a Memorandum of Understanding in Abuja. The agreement is designed to improve market surveillance, information sharing, and joint enforcement across the petroleum sector, according to BusinessDay reports.
FCCPC Executive Vice Chairman Tunji Bello clarified that his commission does not set or approve pump prices in a deregulated market but retains the power to act when business conduct breaches competition rules or harms consumers. Bello stated: "As the FCCPC has consistently stated, it does not regulate or approve petroleum prices in a deregulated downstream market." He added that the commission would pursue suspected cartel behaviour, price fixing, and any other conduct that undermines fair competition.
NMDPRA Outlines Scope of Joint Work
Under the agreement, the FCCPC and NMDPRA will share market intelligence and coordinate investigation and enforcement activities. Bello said: "FCCPC and NMDPRA will deepen information sharing, enhance market intelligence, coordinate enforcement activities, and establish clear mechanisms for collaboration."
NMDPRA Chief Executive Rabiu Abdullahi Umar said the agreement will extend oversight across the full petroleum value chain, covering refining, transportation, storage, wholesale, and retail operations. Umar pointed to the Petroleum Industry Act of 2021 and the Federal Competition and Consumer Protection Act of 2018 as the legal basis for the two agencies working together, noting that their collaboration had been ongoing since 2022. Umar said: "Today, we translate that statutory mandate into an actionable operational framework."
The agencies will sharpen procedures covering product metering, fuel quality monitoring, joint investigations, and consumer complaints. Areas of particular focus include collusive pricing, product withholding, and anti-competitive market allocation.
Dangote Wins Court Order Against NMDPRA
Earlier, a Federal High Court in Lagos barred the NMDPRA from shutting down or interfering with operations at the Dangote Petroleum Refinery inside the Lekki Free Zone. Justice Akintayo Aluko made the order on Monday while ruling on a motion ex parte marked FHC/L/CS/1174/26. The application was filed and argued by counsel to Dangote Petroleum Refinery Nigeria Limited, led by Olawale Akoni and Abimbola Akeredolu, both Senior Advocates of Nigeria.
The regulatory response comes as fresh petrol price increases put consumers under pressure, with pump prices now approaching N1,500 per litre in some locations. The FCCPC and NMDPRA are expected to begin joint investigations into price fixing, cartel behaviour, and product withholding, potentially affecting how petrol is priced and sold across Nigeria.
