Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) has called on refiners, depot owners and petroleum products importers to immediately reduce their prices in response to the recent decline in global crude oil prices.
Gatekeepers News reports that the association said lower international crude prices present an opportunity for operators in the downstream petroleum sector to cut ex-depot and retail pump prices, providing relief for households and businesses facing economic challenges.
In a statement signed by its National Public Relations Officer, Joseph Obele, PETROAN quoted its National President, Billy Gillis-Harry, as saying that developments in the global oil market should be reflected in domestic petroleum pricing.
“Brent crude has fallen to approximately $77 to $78 per barrel following the ceasefire agreement between the United States and Iran and expectations that oil exports through the Strait of Hormuz will gradually normalise,” the statement said.
“Market analysts have noted that crude oil prices are currently under downward pressure, although geopolitical risks remain. Current projections suggest that Brent crude may trade within the range of $75 to $82 per barrel next week, while West Texas Intermediate (WTI) crude is expected to trade between $72 to $79 per barrel.”
PETROAN expressed concern that imported petroleum products are, in some instances, arriving in Nigeria at lower costs than prices offered by domestic refiners.
According to Gillis-Harry, the situation highlights the need for a more competitive downstream petroleum market that guarantees consumers access to the most affordable products available.
The association therefore urged the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to continue issuing import licences to qualified marketers.
It argued that increased competition among suppliers would help moderate prices, discourage monopolistic practices and ensure a steady supply of petroleum products across the country.
PETROAN maintained that competition remains one of the most effective tools for improving efficiency, reducing costs and protecting consumers.
The association added that a more competitive market environment would encourage industry players to adjust their prices downward in line with prevailing market realities.
As part of efforts to deepen competition in the sector, PETROAN also called on the Group Chief Executive Officer of NNPC Limited, Bayo Ojulari, to facilitate discussions with two Chinese firms that have expressed interest in operating the Port Harcourt and Warri refineries.
Gillis-Harry said the successful revival of the refineries under private-sector management could further reduce petroleum product prices by improving operational efficiency and expanding domestic refining capacity.
He added that the resumption of operations at the Port Harcourt and Warri refineries under competent private management would enhance supply stability, promote healthy competition and ultimately make fuel more affordable for Nigerians.
“For Nigeria, sustained moderation in crude oil prices, coupled with stable exchange rates and refining costs, should support lower petrol prices and provide relief to consumers and businesses facing economic challenges,” the association added.
