Mkpoikana Udoma
Port Harcourt — The Petroleum Products Retail Outlets Owners Association of Nigeria, PETROAN, has called for urgent measures to ensure healthy competition and price stability in Nigeria’s downstream sector, warning that monopoly and fluctuating prices threaten economic stability and investment in the industry.
Speaking after consultations with key stakeholders, PETROAN emphasized the need for a competitive environment where multiple players, including Dangote Refinery, NNPC refineries, modular refineries, and importers, can operate freely.
These are contained in a statement signed by PETROAN National Public Relations Officer, Dr. Joseph Obele.
The association commended the Nigerian Midstream and Downstream Petroleum Regulatory Authority, NMDPRA, and the Federal Competition and Consumer Protection Commission, FCCPC, for their roles in promoting competition but urged them to remain vigilant against unfair practices
“We cannot allow a situation where one player dominates the market at the expense of others. Healthy competition drives innovation, ensures fair pricing, and protects consumers from exploitation.”
PETROAN also raised concerns over recent fuel price instability, which has caused massive financial losses and discouraged investment in the sector.
“The sudden downward review of fuel prices has cost investors billions of naira. This kind of unpredictability discourages further investments and could lead to job losses and economic downturn,” Obele warned.
To mitigate these risks, PETROAN called on regulators to establish mechanisms that ensure price stability for at least six months.
“A stable pricing framework will boost investor confidence, safeguard jobs, and protect the average Nigerian from sudden fuel price hikes,” Obele added.
The association outlined key policy recommendations to stabilize the market, including regulatory frameworks, consumer protection, investment in infrastructure, and sustainability initiatives.
PETROAN further urged NMDPRA to act swiftly in ensuring fair pricing and market liberalization, stressing that collaboration among stakeholders—government agencies, regulators, and industry players—was critical.
“We must work together to create a downstream sector that is competitive, stable, and beneficial to all Nigerians,” Obele stated.
