Stakeholders have called on the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and Federal Competition and Consumer Protection Commission (FCCPC) to guide against a single dominance in the petroleum downstream sector and protect consumers in the emerging market realities.
They said this at the quarterly press webinar and engagement for the second quarter of 2025 organized by Major Energies Marketers Association of Nigeria (MEMAN). They underscored the need for industry regulators to be proactive by ensuring fair and healthy competition in Nigeria’s downstream petroleum sector.
At the engagement were journalists, industry experts, industry players, regional associations, who examined the role of competition in shaping market dynamics and protecting consumers, especially amid growing private investments and infrastructure shifts in the industry.
While the session examined the implications of large-scale infrastructure such as the Dangote Refinery, the speakers and participants believed that such investments promise supply chain efficiency, but cautioned against unchecked dominance.
Senior Economist, World Bank, Samer Matta, said competition benefits both households and firms through improving pricing, service delivery, and innovation.
Noting that many Nigerian sectors remain highly concentrated, he urged regulators to strengthen enforcement frameworks and build internal capacity for competitive assessments.
Matta highlighted that competition, if well regulated, naturally protects consumers and drives job creation, but emphasised that strong governance is needed to prevent market failures, particularly in a transitioning and deregulated environment.
Chairman of MEMAN, Huub Stokman, emphasised that while deregulation opens new opportunities, fair and open competition is critical. He called on regulatory agencies such as the FCCPC and NMDPRA to ensure consistent oversight, promote innovation, and protect consumers in the new market reality.
Chief Executive Officer, Transaharan/Inaugural Executive Secretary of the AfCFTA, Francis Anatogu, drew lessons from the telecoms, banking, and aviation sectors, emphasising how competition drives innovation and consumer choice.
He, therefore, urged regulatory agencies to improve coordination and provide accessible complaint channels with timely resolution mechanisms.
Chief Executive Officer, MEMAN, Clement Isong, discussed the increasing adoption of Compressed Natural Gas (CNG) trucks for fuel distribution, citing potential cost reductions of up to 40 per cent.
He warned that uneven infrastructure availability could give certain players an outsized advantage.
He urged regulators to ensure broad-based access to CNG infrastructure and encouraged MEMAN members to adopt additional efficiency models, such as solar-powered stations and logistics pooling, to drive down costs without compromising competitive fairness.
