The Major Energy Marketers Association of Nigeria (MEMAN) has urged full deregulation and liberalisation of the oil and gas industry as the country grapples with ongoing fuel scarcity. With petrol prices surging from N568 or N617 to nearly N900 per litre in Lagos, full deregulation could push prices even higher, possibly reaching N1,500, given the current landing cost of approximately N1,200.
In addition to advocating for deregulation, MEMAN also called for greater support for local refineries to reduce the country’s reliance on imported petroleum products. They also stressed the need for marketers to be able to purchase crude oil from both local and international sources, while encouraging refineries to enter into processing agreements with retail companies.
These recommendations were part of a virtual conference titled “Optimising the Nigerian Oil and Gas Industry.” The group also proposed creating Petroleum Industry Consultative Committees (PICC) to address unresolved issues in the sector, particularly following disputes between Dangote, local refiners, NNPC Limited, and other regulatory bodies. They believe these committees will help avoid public confrontations and promote internal dialogue.
The three proposed committees include:
Midstream and Downstream Industry Coordination Committee, chaired by the Authority Chief Executive (ACE) of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), to enhance collaboration within the sector.
Industry Interface Committee, co-chaired by the ACE and the Chief Corporate Executive (CCE), to manage the relationship between upstream and downstream sectors.
Petroleum Industry Consultative Assembly, a broader forum uniting stakeholders from across the oil and gas sectors, chaired by the Minister of State for Petroleum (Oil).
MEMAN’s Chairman, Huub Stokman, who is also the Managing Director of NNPC Retail Limited, said the committees’ main goal is to support the beneficiation of Nigeria’s crude oil and oversee the evolution of petrol pricing. He stated, “The Petroleum Industry Consultative Committees are also expected to promote automation, technology, innovation, efficiency, best practices, and self-regulation within the industry.”
Stokman emphasised the committees’ potential to ensure the smooth operation of Nigeria’s petroleum sector through collaboration and strategic decision-making among key stakeholders.
Former MEMAN Chairman and Managing Director of 11Plc, Adetunji Oyebanji, echoed these sentiments, highlighting the importance of resolving disputes internally rather than through public confrontations. He added, “MEMAN is working closely with other stakeholders to consolidate discussions and ensure we collectively move the industry forward.”
