Reported by: Oahimire Omone Precious | Edited by: Oravbiere Osayomore Promise.
The Independent Petroleum Marketers Association of Nigeria has issued a firm warning to the Federal Government, threatening a nationwide shutdown of filling stations if authorities attempt to enforce price controls in the country's deregulated downstream petroleum sector.
The National Publicity Secretary of IPMAN, Chinedu Ukadike, issued the warning on Tuesday, July 1, 2026, while reacting to recent statements by the Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri. Ukadike declared: "Marketers will shut down if they try somehow to enforce price control. We are going to shut down our stations nationwide. You can't be regulating a deregulated market. You can't tell me how much to sell my product without trying to know how much I bought it".
The escalating standoff began on Monday, June 29, 2026, when Lokpobiri, speaking at the 2026 General Counsel and Legal Advisers Forum organised by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) in Abuja, directed the regulator to clamp down on marketers exploiting consumers. The minister's directive came amid growing public discontent over retail petrol prices, which have remained between ₦1,140 and ₦1,210 per litre despite global crude oil prices falling sharply from about $120 per barrel during the US-Iran conflict to approximately $72 per barrel.
Lokpobiri insisted that while the era of government-fixed prices is over, deregulation does not mean regulators should abdicate their responsibility to protect consumers. "Yes, the market is definitely deregulated, but that doesn't limit deregulation… Primarily, market forces have to determine prices. But we also have a responsibility as a government to ensure that there is no profiteering," he said.
The Federal Competition and Consumer Protection Commission had also expressed similar concerns on Sunday, June 28, warning fuel marketers against exploitative pricing practices.
However, Ukadike rejected allegations of profiteering, revealing that many independent marketers are instead incurring massive financial losses. He explained that successive price reductions by the Dangote Refinery have left marketers stuck with highly expensive inventory.
"We bought petrol at a particular rate a few days ago; on our way to our filling stations, there was a reduction. We have been struggling with the price. We have been struggling against financial losses," Ukadike said. He added that marketers have lost between N10 billion and N15 billion due to recent fuel price reductions.
He further explained that most independent marketers operate on bank loans, and their repayment obligations remain fixed regardless of fluctuations in fuel prices. "The bank does not know when the price goes up or goes down. Their interest rate is fixed; their return on investment is fixed. So, you must pay them," he said.
The National President of the Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN), Billy Gillis-Harry, acknowledged the minister's authority to intervene but urged that any decision be taken after consultations with stakeholders. He called on the Minister of Petroleum Resources to convene an emergency meeting involving regulators, refiners and marketers to address the pricing concerns and arrive at solutions acceptable to all parties.
As the standoff continues, the NMDPRA spokesperson, George Ene-Ita, said he had not been briefed on any planned regulatory action regarding fuel pricing.
The threat of a nationwide shutdown comes at a critical time when the Federal Government is working to stabilise the downstream sector following the removal of fuel subsidies and full deregulation of the market under the Petroleum Industry Act. Ukadike maintained that the solution to high petrol prices is not government intervention but increased competition through improved local refining capacity and expanded fuel importation. "By the time more products come in, you will see that the prices will go down," he said.
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