The Federal Government of Nigeria has announced that a national stakeholder forum will be held on July 23 and 24, 2025, to address the escalating concerns surrounding petrol pricing and supply within the country’s downstream petroleum sector. This summit aims to bring together key players in the industry, including operators, marketers, refiners, and government representatives, to discuss and establish standards for petroleum pricing, ensure feedstock adequacy, and develop strategies to stabilize the deregulated market.
Okay.ng reports that the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) is organizing the event. Francis Ogaree, the Executive Director of Hydrocarbon Processing Plants, Installation and Transportation Infrastructure at NMDPRA, confirmed the dates during the recently concluded 24th Nigeria Oil and Gas Energy Week in Abuja. He emphasized the importance of fostering dialogue to build a resilient pricing system in the post-subsidy era.
There has been growing agitation from independent petroleum marketers, who have expressed frustration over sudden fluctuations in the price of Premium Motor Spirit (PMS), commonly known as petrol, particularly following unannounced price changes by the Dangote refinery. The President of the Petroleum Products Retail Outlets Owners Association of Nigeria, Billy Gillis-Harry, has persistently called for a stable market and consistent energy security. He advocates for transparent pricing mechanisms that analyze fluctuations to prevent adverse effects on the industry.
Gillis-Harry further stressed the need for fairness in pricing, especially concerning the impact of Dangote’s recent price reductions on retailers who purchased fuel at higher rates. He urged the industry to avoid unfair practices and ensure equitable pricing for all stakeholders.
Similarly, the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) raised concerns last month about the current petroleum pricing regime. The association accused petroleum marketers of exploiting Nigerians by inflating petrol prices and insisted that the pump price for PMS should range between N700 and N750 per litre.
In response, Ogaree acknowledged the challenges faced by sector players due to operational uncertainties and assured that NMDPRA is taking concrete steps toward price standardization and encouraging greater investment in local refining capacity.
Speaking at a panel titled “Building a resilient and competitive refining sector,” Ogaree said, “We are engaging stakeholders at our forum, where we address the issues and proffer solutions. I would like to remind you that the NMDPRA has only been in existence for three and a half years. And in that period, we have achieved giant strides in the number of licenses we have given and in addressing the issues.”
He added, “Even on the issue of petroleum pricing, which is another one that we are facing now and relates to standardisation. It is a work in progress, and that is why at the latter part of this month, exactly on July 23 to 24, a two-day event, we will be talking about petrol pricing. Again, that is to allay some fears and put in some standards. The issue of pricing, everyone knows that it is a sensitive one and peculiar from one country to another, and the authority is working.”
Regarding refining capacity and supply security, Ogaree revealed that Nigeria currently has 10 operational and near-operational refineries, including the three refineries owned by the Nigerian National Petroleum Company (NNPC), the 650,000 barrels per day (bpd) Dangote refinery, and six modular refineries. He noted that several upcoming refineries, with capacities ranging from 1,000 to 200,000 bpd, are expected to become operational by 2026.
“We have about 10 refineries right now. The three Nigerian National Petroleum Company refineries. We have Dangote refinery and six modular refineries. When I look at the combined capacity for those refineries, we need about 1,124,000 barrels per day,” Ogaree explained.
He cautioned that the success of the downstream market depends heavily on the availability of crude oil feedstock to meet the demands of the growing number of licensed refiners. “We know our current production capacity. These are just operating refineries. When I think about new refineries coming up very soon. Some of them need 200,000 barrels to 1,000 barrels, and I compute them together. Some of them would be on onstream by 2026.”
Ogaree concluded by highlighting the critical importance of increasing crude oil production to meet the feedstock requirements of all operational and upcoming refineries. “You know that this number of barrels has to grow, and there has to be more production if we are to meet up. The apparent fear, and I must be sincere, is on the feedstock. We have given out 47 licenses, all of which are to do establishments, construction, and they all go into operation. We must be able to meet their demands when they all go on stream.”
