Fuel marketers have warned that filling stations across the country could shut down if the Federal Government attempts to impose price controls on petrol in the deregulated downstream petroleum sector.
The National Publicity Secretary of the Independent Petroleum Marketers Association of Nigeria (IPMAN), Chinedu Ukadike, issued the warning on Tuesday while reacting to comments by the Minister of State for Petroleum Resources (Oil), Senator Heineken Lokpobiri.
Lokpobiri had, at the opening of the 2026 General Counsel and Legal Advisers Forum organised by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) in Abuja, said the government would not tolerate profiteering or practices that exploit fuel consumers. He stressed that while petrol pricing had been deregulated, government agencies still had a responsibility to protect Nigerians from excessive pricing.
The minister’s remarks followed public concerns over the failure of refiners and importers to significantly reduce petrol prices despite a sharp decline in global crude oil prices from about $120 per barrel during the US-Iran conflict to around $72 per barrel.
The Federal Competition and Consumer Protection Commission (FCCPC) had also expressed concern over possible consumer exploitation, noting that pump prices had remained largely unchanged despite the drop in crude oil prices.
Responding, Ukadike denied allegations of profiteering, saying that many marketers were already operating at a loss due to repeated reductions in ex-depot prices, particularly by the Dangote Refinery.
He argued that marketers simply sell products based on their purchase costs and warned that any attempt to enforce price control in a deregulated market would be resisted.
“You can’t regulate prices in a deregulated market. If the government tries to enforce price control, marketers will shut down filling stations nationwide. They cannot dictate what we should sell without considering how much we purchased the products,” he said.
Ukadike explained that many independent marketers purchased fuel at higher prices only to witness sudden reductions before the products reached their stations, forcing them to sell at losses. He added that many operators also rely on bank loans with fixed repayment obligations, making frequent price cuts financially difficult.
According to him, market competition, rather than government intervention, should determine petrol prices.
He urged the Federal Government to address the root causes of high fuel prices by encouraging competition, increasing fuel importation where necessary, and ensuring local refineries operate efficiently.
“The real problem is the lack of competition. Government should focus on making local refineries functional instead of trying to impose price controls. Once competition improves, prices will naturally come down,” he stated.
Also commenting, the National President of the Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN), Billy Gillis-Harry, said the minister has the authority to intervene to protect consumers but stressed that such action should be taken only after consultations with stakeholders in the industry.
He recommended that the Minister convene an emergency meeting involving marketers, refiners and regulators to review the current pricing situation and agree on measures that would benefit consumers while maintaining industry stability.
Meanwhile, NMDPRA spokesman George Ene-Ita said he had not been briefed on any planned regulatory action regarding fuel pricing.
Petrol currently sells for between ₦1,140 and ₦1,260 per litre, depending on location.
