The Federal Government has intensified efforts to reduce the pump price of Premium Motor Spirit (PMS), popularly known as petrol, as it engaged key players in the downstream petroleum sector over what it described as the gap between declining global crude oil prices and current domestic fuel prices.

At a high-level stakeholders’ meeting held at the headquarters of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) in Abuja, government officials met with representatives of the Dangote Petroleum Refinery, independent and major petroleum marketers, depot owners, transport operators and other industry stakeholders to discuss cost-reflective pricing and measures to make petrol more affordable for Nigerians.

The meeting focused on ensuring that the recent decline in international crude oil prices translates into corresponding reductions in the retail price of petrol across the country.

Speaking after the meeting, the Minister of State for Petroleum Resources (Oil), Senator Heineken Lokpobiri, said the Federal Government was concerned that current petrol prices do not accurately reflect prevailing crude oil prices in the international market.

According to the minister, government engaged operators in frank discussions aimed at addressing the concerns of Nigerian consumers and finding practical ways to reduce the cost of PMS.

He noted that while global crude oil prices have fallen significantly from previous highs, domestic petrol prices have not declined at the same pace, creating a burden for households and businesses.

Lokpobiri said industry operators acknowledged the government’s concerns and agreed to review the issues raised before presenting practical measures that could lead to lower pump prices. He, however, declined to give a timeline for when Nigerians should expect a reduction, stating that consultations are still ongoing.

The minister also cautioned marketers against maintaining high pump prices based on profits from previously acquired expensive fuel stocks, stressing that the benefits of lower replacement costs should be passed on to consumers in line with the principles of a deregulated market.

Meanwhile, the Independent Petroleum Marketers Association of Nigeria (IPMAN) has expressed optimism that petrol prices could fall below N800 per litre if market conditions improve and competition is strengthened.

The National President of IPMAN, Abubakar Maigandi, called on the Federal Government to restore importation rights for independent marketers, arguing that increased competition in the downstream sector would help drive down prices and improve product availability.

He also urged the government to continue supporting local refining, particularly the Dangote Petroleum Refinery, while allowing marketers to import petroleum products whenever necessary to ensure adequate supply.

Maigandi disclosed that independent marketers have already begun reducing pump prices across the country, noting that retail prices have dropped by about N125 per litre nationwide in recent weeks.

According to him, the association is committed to further reducing petrol prices whenever acquisition costs decline, adding that direct access to products from the Dangote refinery and a more competitive supply chain would enable marketers to offer lower prices to consumers.

He expressed confidence that the combination of increased local refining capacity, improved market competition and government engagement with industry stakeholders would ultimately lead to more affordable petrol prices for Nigerians.

The latest consultations come as the Federal Government continues to monitor developments in the deregulated petroleum market, with the aim of ensuring that consumers benefit from favourable global market conditions while maintaining a stable and competitive downstream oil sector.