The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has reiterated that the country’s downstream petroleum sector operates under a fully deregulated system, emphasizing that the government does not set the retail price of Premium Motor Spirit (PMS), commonly known as petrol.
Speaking in Sokoto, the NMDPRA State Coordinator, Ali Ajmi, clarified that the authority has not issued any directive mandating a uniform pump price for petrol across the country.
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He explained that under the current deregulated framework, petroleum marketers are responsible for sourcing their own products and fixing pump prices based on prevailing market realities, including transportation expenses, supply conditions, and other operational costs.
“The downstream petroleum market remains deregulated, and fuel prices are determined by market forces. Marketers are expected to procure products independently and sell in line with prevailing market conditions. We have not received any official instruction from our headquarters directing marketers on a fixed petrol price,” Ajmi stated.
According to him, petrol currently sells between ₦1,000 and ₦1,200 per litre in Sokoto and neighbouring communities. He added that the authority continues to engage marketers to encourage responsible pricing practices and prevent unjustified price hikes.
Ajmi attributed the relatively high cost of petrol in the North-West to logistical constraints, particularly the considerable distance between coastal fuel depots and inland states such as Sokoto, which significantly increases transportation costs and delivery time.
He noted that fuel shipments from coastal depots may take as long as 10 days to arrive in Sokoto because of the long travel distance and poor road infrastructure, factors that ultimately affect distribution expenses.
The state coordinator further disclosed that NMDPRA maintains continuous interaction with petroleum marketers through routine inspections, consultations, and stakeholder engagements aimed at improving product availability and addressing pricing-related issues.
On consumer protection, Ajmi warned filling station operators against under-dispensing fuel, stressing that the authority has intensified surveillance and enforcement activities to curb sharp practices in the sector.
He encouraged members of the public to report any filling station suspected of short-changing customers or dispensing adulterated petroleum products. According to him, NMDPRA inspection teams are equipped with calibrated measuring instruments and fuel quality testing devices to promptly investigate and verify complaints.
Ajmi added that inspection officials conduct monitoring operations daily and are empowered to carry out enforcement actions whenever necessary.
He also revealed that the authority is working closely with the Sokoto State Ministries of Energy, Commerce and Industry, alongside other relevant stakeholders, to strengthen consumer protection, improve compliance with regulatory standards, and enhance transparency and stability within Nigeria’s downstream petroleum industry.
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