By Mardiyyah Abubakar
The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has unveiled draft regulations aimed at ending fuel price fixing, artificial scarcity and other anti-competitive practices in Nigeria’s petroleum sector.
The proposed rules would prohibit petroleum companies from coordinating pump prices, restricting fuel supply, sharing markets, rigging bids or exchanging commercially sensitive information capable of distorting competition.
The move comes amid recent allegations by independent marketers that some major fuel importers sold imported Premium Motor Spirit (PMS), also known as petrol, at coordinated prices higher than those offered by the Dangote Refinery.
In a public notice issued on Thursday, the Authority invites licence holders, permit holders and other stakeholders to review the draft regulations and submit comments within 21 days, in line with Section 216(1) of the Petroleum Industry Act (PIA) 2021.
The NMDPRA also announced that a stakeholders’ consultation on the proposed regulations will take place on September 22, 2026, at its headquarters in Abuja.
Under the draft framework, companies would be barred from coordinating pump prices, ex-depot prices, freight charges, discounts, pricing formulas and other pricing elements that could undermine market competition.
The regulations also prohibit market allocation, where companies divide customers, territories or supply areas instead of competing fairly, as well as bid rigging, collusive tendering and agreements to reduce fuel imports, production or supply in order to create artificial scarcity or manipulate prices.
In addition, the Authority seeks to prevent tacit collusion by banning competitors from signalling future pricing intentions or exchanging sensitive business information, including production schedules, customer lists and marketing strategies.
If adopted after the consultation process, the regulations will strengthen the NMDPRA’s powers to investigate and sanction anti-competitive practices while promoting transparency, fair pricing and healthy competition across Nigeria’s midstream and downstream petroleum industry.
