Minister of State for Petroleum Resources, Sen. Heineken Lokpobiri, has directed petroleum marketers to immediately reduce the pump prices of Premium Motor Spirit (PMS) and other petroleum products to reflect the recent decline in global crude oil prices.
Lokpobiri issued the directive on Monday in Abuja while speaking at the 2026 Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) General Counsel and Legal Advisers Forum, themed “Beyond Compliance: Certainty and Investment Confidence in Nigeria’s Petroleum Sector.”
The minister said the easing of geopolitical tensions between Iran and the United States had triggered a drop in global oil prices, making it imperative for marketers to pass the benefits on to consumers.
He expressed concern that the expected reduction in pump prices had yet to materialise, warning that operators must not exploit the deregulated market to make excessive profits.
While acknowledging that market forces would eventually restore price equilibrium, Lokpobiri stressed that the regulator has a statutory duty under the Petroleum Industry Act (PIA) 2021 to ensure deregulation does not become a tool for profiteering.
“For too long, the dominant question in our regulatory conversations has been: are operators complying? That question matters and will always matter, but it is no longer sufficient.
“The more important question today is whether our regulatory authorities are doing enough to provide the clarity, consistency and predictability investors need to commit long-term capital. Compliance is the foundation; regulatory certainty is the destination we must now build toward,” he said.
He urged marketers to embrace fair pricing practices so Nigerians can benefit from prevailing market realities, while calling on regulators to shift their focus beyond enforcement to creating a stable investment climate.
According to the minister, President Bola Tinubu’s decision to fully deregulate the downstream petroleum sector has transformed the industry by eliminating the era of persistent fuel shortages and paving the way for the operationalisation of the Dangote Refinery and other refining projects.
“You can attest that since 2023, petroleum products have remained available across the country, even amid disruptions caused by the recent US-Israel-Iran conflict,” he said.
Lokpobiri also charged regulators to safeguard consumer interests by ensuring accurate fuel dispensing at filling stations.
“When a consumer pays for 10 litres of PMS, they must receive exactly 10 litres—not a drop less,” he warned.
The minister noted that while regulatory compliance remains essential, investors are increasingly attracted to jurisdictions where policies are transparent, predictable and consistently implemented.
He described general counsel and legal advisers as strategic partners whose responsibilities extend beyond interpreting laws to shaping investment decisions, strengthening regulatory frameworks and driving national development.
Lokpobiri urged legal practitioners to speak up whenever regulations or guidelines create uncertainty that could discourage investment, insisting that constructive feedback is vital to improving the sector.
He said Nigeria’s petroleum industry is entering a new era marked by expanding domestic refining capacity, growing private-sector participation and fresh opportunities across the midstream and downstream segments.
According to him, sustaining this momentum will require policy consistency, transparent regulation, efficient dispute resolution mechanisms and stronger collaboration among government, regulators, industry players and legal professionals.
The minister expressed confidence that recommendations from the forum would strengthen governance, enhance regulatory certainty and boost investor confidence in Nigeria’s petroleum sector.
