Nigeria downstream petroleum market don witness another round of price reduction on Monday, as Dangote Petroleum Refinery and plenty major fuel marketers lower depot prices for petrol and diesel.
Dis development come as Federal Government dey mount pressure, plus growing competition and better product availability.
Earlier before price adjustments, Minister of State for Petroleum Resources (Oil), Senator Heineken Lokpobiri, tell stakeholders meeting say current retail price of petrol no reflect di sharp decline for crude oil price.
Di meeting wey Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) convene, get representatives from Dangote Refinery, Major Energy Marketers Association of Nigeria (MEMAN), IPMAN, Depots and Petroleum Products Marketers Association of Nigeria (DAPPMAN), Nigerian Association of Road Transport Owners (NARTO), and Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN).
Di latest mid-day depot price report show say Dangote Refinery reduce im ex-depot petrol price for Lagos by N3 per litre, from N1,079 go N1,076 per litre, while e keep diesel price at N1,500 per litre.
Di reduction come as plenty marketers also adjust dia prices downward, to remain competitive for market wey dey price-sensitive.
Among di major Lagos depots, NIPCO cut im petrol price by N2 go N1,076 per litre, while Pinnacle lower am by N3 go N1,075 per litre.
Sahara, AIPEC, and African Terminal each reduce prices by N4, bring dia petrol prices to N1,075 per litre. Aiteo maintain im petrol price at N1,075 per litre.
Diesel prices also soften across plenty depots. Rain Oil reduce im AGO price by N15 go N1,430 per litre, while Ibeto, Duport, and Ibachem all cut prices to N1,430 per litre. Dangote Refinery, however, retain im diesel price at N1,500 per litre.
For Port Harcourt, marketers record even steeper reductions. Matrix slash im petrol price by N8 go N1,087 per litre and cut diesel by N55 go N1,465 per litre, wey be di biggest diesel price reduction for di trading session.
Sigmund also reduce im petrol price by N12 go N1,082 per litre, although e raise im diesel price slightly by N2 go N1,463 per litre.
Di downward trend extend to oda regions. For Calabar, Fynfield reduce im petrol price by N7 go N1,090 per litre, while Soroman lower im price by N5 to di same level.
For Warri, Matrix and Prudent both reduce petrol prices by N5 go N1,085 per litre. M. Shafa lower im diesel price by N3 go N1,455 per litre.
Industry analysts say di latest adjustments reflect heightened competition among suppliers, because of increased domestic refining capacity and relatively stable international crude oil prices.
After stakeholders meeting on Cost-Reflective Pricing of PMS, Lokpobiri talk say while government no interfere when petrol prices rise because of higher crude oil prices, now no get justification to maintain current pump prices as Brent crude dey trade below $70 per barrel.
“NMDPRA never fault anybody as far as di price dey concerned because we dey operate a fully deregulated economy. But deregulation no mean excessive profiteering. Di Petroleum Industry Act also place responsibility on NMDPRA to ensure say dem take steps to prevent unnecessary profiteering,” e tok.
“When Brent crude dey about $118 per barrel, prices adjust rapidly. Now wey crude prices don drop significantly, why di pump price no come down di same way?” di minister ask.
Lokpobiri say discussions with marketers dey constructive and go continue until dem agree framework to ensure petrol prices better reflect developments for global crude oil market.
“We get very fruitful and frank discussions with di marketers and leaders of di downstream sector, with view to driving down di price of PMS. Di engagements still dey ongoing. We tell dem di concerns of Nigerian consumers, and dem don agree to go back and tink of wetin concrete steps dem fit take. Discussions dey ongoing, and we believe we dey get somewhere,” e add.
Chief Executive of NMDPRA, Mallam Rabiu Umar, talk say di current disconnect between falling international crude prices and sustained domestic retail PMS prices make di engagement with marketers necessary.
E note say previous consultations with stakeholders don help ease prices for domestic Liquefied Petroleum Gas (LPG) market, and e express confidence say similar dialogue go deliver positive results for petrol consumers.
“Deregulation no be licence for market distortion or unfair consumer pricing. Sustainable profitability for marketers and consumer welfare no be mutually exclusive,” Umar tok.
Meanwhile, IPMAN talk say petrol prices fit decline below N800 per litre as independent marketers begin to purchase products directly from Dangote Petroleum Refinery.
IPMAN National President, Abubakar Garima, say di association don already reduce petrol prices by about N125 per litre across di country and go continue to lower prices whenever product acquisition costs decline.
