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FG Pressures Dangote, Marketers to Cut Depot Prices

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Consumers seem to be getting their wish as Nigeria’s downstream petroleum market witnessed another round of price reductions on Monday, as the Federal Government’s pressure on the relevant stakeholder-segment bore fruits.

Biztellers reports that the Dangote Petroleum Refinery & Petrochemical (DPRP) and several major fuel marketers lowered depot prices for Premium Motor Spirit (PMS), popularly known as petrol, and diesel.

Analysts also trace the development to resolution of the MiddleEast crisis, growing competition and improving product availability.

Prior to the price adjustments, the Minister of State for Petroleum Resources (Oil), Senator Heineken Lokpobiri, declared before a stakeholders’ meeting that the current retail price of petrol does not reflect the sharp decline in price of crude oil.

The meeting, convened by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), was attended by representatives of the DPRP, Major Energy Marketers Association of Nigeria (MEMAN), the Independent Petroleum Marketers Association of Nigeria (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).

ALSO READ: Old Stock doesn’t Justify High Fuel Prices – FG

The latest mid-day depot price report showed that the DPRP reduced its ex-depot petrol price in Lagos by N3 per litre, from N1,079 to N1,076 per litre, while maintaining its diesel price at N1,500 per litre.

The reduction comes as several marketers also adjusted their prices downward in an apparent bid to remain competitive in an increasingly price-sensitive market.

Among the major Lagos depots, NIPCO cut its petrol price by N2 to N1,076 per litre, while Pinnacle lowered its price by N3 to N1,075 per litre. Sahara, AIPEC, and African Terminal each reduced prices by N4, bringing their petrol prices to N1,075 per litre.

On its part, Aiteo maintained its petrol price at N1,075 per litre.

Diesel prices also softened across several depots. Rain Oil reduced its AGO price by N15 to N1,430 per litre, while Ibeto, Duport, and Ibachem all cut prices to N1,430 per litre. Dangote Refinery, however, retained its diesel price at N1,500 per litre.

Speaking after a stakeholders’ meeting on Cost-Reflective Pricing of PMS, Lokpobiri noted that while the government did not interfere when petrol prices rose in response to higher crude oil prices, there was now no justification for maintaining current pump prices with Brent crude trading below $70 per barrel.

“NMDPRA never faulted anybody as far as the price was concerned because we are operating a fully deregulated economy.

“But deregulation doesn’t mean excessive profiteering. The Petroleum Industry Act also places responsibility on NMDPRA to ensure that steps are taken to prevent unnecessary profiteering.

“When Brent crude was about $118 per barrel, prices adjusted rapidly. Now that crude prices have dropped significantly, why has the pump price not come down in the same way?” he asked.

The Minister said discussions with marketers were constructive and would continue until a framework was agreed to ensure petrol prices better reflected developments in the global crude oil market.

“We had very fruitful and frank discussions with the marketers and leaders of the downstream sector with a view to driving down the price of PMS. The engagements are still ongoing.

“We told them the concerns of Nigerian consumers, and they have agreed to go back and think of what concrete steps can be taken. Discussions are ongoing, and we believe we are getting somewhere,” he said.

In the same vein, Chief Executive of NMDPRA, Rabiu Umar, said the current disconnect between falling international crude prices and sustained domestic retail PMS prices made the engagement with marketers necessary.

He noted that previous consultations with stakeholders had helped ease prices in the domestic Liquefied Petroleum Gas (LPG) market and expressed confidence that similar dialogue would deliver positive results for petrol consumers.

“Deregulation is not a licence for market distortion or unfair consumer pricing. Sustainable profitability for marketers and consumer welfare are not mutually exclusive,” Umar said.

Meanwhile, IPMAN said petrol prices could decline below N800 per litre as independent marketers begin purchasing products directly from the DPRP.

IPMAN National President, Abubakar Garima, said the association had already reduced petrol prices by about N125 per litre across the country and would continue to lower prices whenever product acquisition costs decline.

NEWS

Osun Inaugurates Special Taskforce on Environmental Sanitation

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Four gang-killed two in Osun, destroy N8M properties

With a view to strengthening the enforcement of environmental laws so as to sustain a clean, healthy and habitable environment throughout the state, the Osun State Government has set up a Special Task Force on Environmental sanitation.

The Task Force, according to a government house statement issued on Monday in Osogbo, is to be chaired by the state Head Of Service, Samuel Ayanleye Aina and deputised by the Hon. Commissioner for Environment and Sanitation, Hon Mayowa Adejoorin.

The core mandate of the taskforce according to a statement issued by the state commissioner for Information and Public Enlightenment, Oluomo Kolapo Alimi, is to tackle environmental infractions throughout Osun state particularly indiscriminate waste disposals in drains and roadsides as well as other places that have the potential of constituting environmental nuisances.

READ ALSO: NCDMB Retirees Celebrate Local Content Growth from 5% to 61%

The state government particularly viewed with great concern and accordingly flayed the indiscriminate manner with which people litter many places including road medians with dirts and debris of different kinds, an act which it further noted could cause serious environmental hazards.

The State Government while putting in place the taskforce urged its members to ensure that all enforcement activities are diligently carried out in accordance with the law.

The government warned that offenders will be prosecuted if, henceforth, they are caught or found culpable in one way or the other in negating all the environmental laws of the state.

It also urged the Special Task Force on Environmental sanitation to remain committed to due process in the discharge of its core duties and mandates.

Other members of the Samuel Ayanleye Aina led Special Task Force on Environmental sanitation are the Hon. Commissioner for Information and Public Enlightenment, Oluomo Kolapo Alimi, Special Adviser to the Governor on Political Affairs, Alh.Muniru Raji, General Manager, Osun State Waste Management Agency(OWMA), Mr Oyewole Fatai Oladosu and Mr.K.K.Oyelami.

Other members of the taskforce are Osun Amotekun Corps Commander, Hon. Omoyele Isaac Adekunle, Hon. Commissioner for Women Affairs, Chief (Mrs) Ayobola Fadeyi Awolowo and Special Adviser to the Governor on Market Affairs, Mrs Eniola Omotoso.

The task force is to commence work with immediate effect.

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Petrol Price Will Drop To ₦400, ₦500 Under Atiku’s Plan — Dino Melaye

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Senator Dino Melaye, a chieftain of the African Democratic Congress (ADC), has said petrol prices could fall to between ₦400 and ₦500 per litre if the party’s proposed fuel subsidy policy is implemented under an Atiku Abubakar-led government.

Melaye made the statement during an appearance on Democracy Today, an AIT programme, on Monday, while explaining the ADC’s economic agenda ahead of the 2027 general elections.

According to him, the proposed restoration of fuel subsidy is aimed at making Nigeria more affordable by reducing the cost of petroleum products and easing pressure on transportation and the prices of goods and services.

ALSO READ: Rivers 2027: ADC Still United, No Member Has Joined APC — Pidomson

Melaye said the high cost of petrol has affected several sectors of the economy, including transportation, movement of goods, aviation and other businesses.

“Everything is around this subsidy. Once transportation is affected, movement of goods and commodities is affected,” he said.

He added that aviation fuel was also contributing to increased costs within the aviation sector, describing petroleum products as an important link across different areas of the economy.

Defending the ADC’s position on subsidy, Melaye argued that resources which he alleged were previously lost to corruption could instead be redirected towards Nigerians through the proposed policy.

“What we intend to do is that at the initial, there is no subsidy. What you have is corruption. It’s money being stolen. So, instead of the corruption, we are replacing corruption now by leveraging on the people,” he said.

Asked whether the ADC would restore fuel subsidy, Melaye said the party intended to bring it back fully.

“We are bringing back subsidies 100% because subsidies, there is nothing like subsidies. What we have is corruption,” he said.

Melaye further linked the proposed policy to the price of petrol and other petroleum products.

He said the policy would result in a reduction in the price of Premium Motor Spirit (PMS), diesel, kerosene, aviation fuel and other petroleum products.

“And once there is reduction from 1,400, you start buying fuel at 500 or at 400, definitely it’s going to have a resultant effect on every other facet, including price of goods and commodities,” Melaye said.

He argued that cheaper petrol would reduce transportation costs and contribute to lower prices of goods and commodities.

Melaye also questioned the Federal Government’s borrowing levels, comparing borrowing under former President Muhammadu Buhari, when fuel subsidy was in place, with borrowing under the current administration.

He claimed that Buhari’s administration borrowed ₦87 trillion over eight years with fuel subsidy, while the current administration had borrowed ₦157 trillion without subsidy.

 

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UN Secretary-General Race: Shettima Says Nigeria Will Back Equity, Justice and Fairness

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Vice President Kashim Shettima has assured Costa Rican candidate for the position of United Nations Secretary-General, Rebeca Grynspan, that Nigeria will support a candidate based on equity, justice and fairness.

Shettima gave the assurance when he met with Grynspan shortly before returning to Nigeria from New York, United States.

The Vice President said Nigeria’s position would also be guided by the need to promote Africa’s aspirations in global affairs, particularly its quest for representation in key decision-making bodies.

SEE ALSO: Africa Can’t Bear Global Burdens Without Equal Voice — Shettima

According to him, Nigeria will support a candidate who believes in multilateralism, conflict prevention and the promotion of peace.

Shettima said he would recommend Grynspan’s candidature based on several factors, including Nigeria’s relationship with Latin America and the importance of gender inclusion.

“Thank you for seeking Nigeria’s perspective for your candidature of the United Nations Secretary-General. Nigeria and Costa Rica share a common historical background connecting both countries and their regions.

“We also have a cordial relationship with Latin America, and we do not wish to jeopardise it. Beyond our historical ties and relations rest our interest in conflict prevention, multilateralism, and the peace of our nations,” the Vice President said.

Shettima also called for reforms to the global governance architecture, noting that the international system has changed significantly since 1945 but has yet to adequately reflect Africa’s growing population and interests.

He stressed the need for greater African representation in key global decision-making institutions.

Earlier, Grynspan, who met with Shettima to seek Nigeria’s support for her candidature, said she was prepared to lead reforms at the United Nations, particularly those being demanded by countries in the Global South.

“Coming from the Global South, I represent the interest and demands of the region. I also have a soft spot for Africa. I know the continent and its aspirations,” she said.

The Costa Rican candidate said her agenda would prioritise peace and pledged to give urgent attention to Africa’s ambition of becoming a permanent member of the United Nations Security Council.

The meeting was held in New York as part of Shettima’s engagements before his return to Nigeria.

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