The Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) has called on President Bola Ahmed Tinubu to urgently intervene in the escalating cold war within Nigeria’s downstream petroleum sector, warning that the situation poses serious risks to supply stability, investor confidence, and the broader economy.
The National President of PETROAN, Dr Billy Gillis-Harry, made the call in Abuja amid the ongoing price war involving petroleum product importers and the Dangote Refinery.
Dr Gillis-Harry expressed concern over allegations and verbal attacks directed at the leadership of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) by Alhaji Aliko Dangote, President of the Dangote Group, noting that such exchanges could discourage foreign investment and undermine confidence in Nigeria’s regulatory institutions.
At an Emergency Ordinary National General Meeting held on Monday, PETROAN passed a vote of confidence in the leadership of the NMDPRA, under its Chief Executive Officer, Engr. Farouk Ahmed. The association cited what it described as innovative reforms, improved regulatory clarity, enhanced transparency, and the promotion of healthy competition in the downstream sector.
According to PETROAN, the current regulatory framework has strengthened market discipline, ensured fair play among operators, and created a more stable and competitive environment that benefits both consumers and the national economy.
The association also condemned negative public statements portraying Nigeria’s national refineries as unattractive for investment, stressing that sound business ethics discourage disparaging competing enterprises.
PETROAN further condemned the announcement or pronouncement of petroleum product prices by any individual, corporate body, or agency, describing such actions as contrary to the provisions of the Petroleum Industry Act (PIA) 2021.
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The association referenced Section 205(1) of the Act, which provides that wholesale and retail prices of petroleum products should be determined by unrestricted market forces, subject only to limited regulatory oversight to prevent monopolistic practices.
The association maintained that Nigeria’s four refineries remain purchase-worthy and business-friendly, and attractive to both local and foreign investors.
PETROAN also raised concerns over unresolved disputes involving NUPENG and PENGASSAN in relation to the Dangote Refinery, warning that prolonged conflicts could lead to supply chain disruptions, artificial scarcity, job losses, regulatory instability, and unhealthy price manipulation.
It cautioned that the ongoing aggressive price war, often executed below cost, is unsustainable and could result in losses for all parties involved, while distorting fair competition.
In addition, PETROAN urged the Nigerian National Petroleum Company Limited (NNPCL), under its Group Chief Executive Officer, Engr. Bayo Ojulari, to accelerate engagement with credible private-sector partners for the rehabilitation, management, or co-ownership of national refineries to restore confidence and demonstrate their commercial viability.
Dr Gillis-Harry appealed to President Tinubu to decisively intervene, promote dialogue over confrontation, uphold the provisions of the PIA, ensure fair competition, and restore stability in Nigeria’s downstream petroleum industry.
