FCCPC Warns Fuel Marketers Over Slow Petrol Price Cuts, Threatens Sanctions
- June 29, 2026
The Federal Competition and Consumer Protection Commission (FCCPC) has expressed concern over the slow pace of reductions in petrol prices despite the recent decline in global crude oil prices, warning that it will sanction operators found to be exploiting consumers.
In a statement issued on Sunday, the commission said its ongoing surveillance of Nigeria’s downstream petroleum sector showed that recent reductions in gantry and retail prices by refiners, depot operators and marketers do not reflect the sharp fall in international crude oil prices.
According to the FCCPC, crude oil prices have fallen to about $73 per barrel following the ceasefire between the United States and Iran and the reopening of the Strait of Hormuz, down from a peak of about $120 per barrel during heightened geopolitical tensions earlier in the year.
The commission recalled that marketers responded almost immediately by increasing pump prices when crude prices surged, with petrol selling for between N1,350 and N1,500 per litre, while diesel prices climbed to around N2,000 per litre. However, despite the subsequent decline in crude prices, petrol continues to retail at an average of about N1,200 per litre nationwide.
While acknowledging that fuel prices in Nigeria’s deregulated downstream market are influenced by factors such as refining costs, foreign exchange movements, logistics, financing and distribution expenses, the commission said competitive market forces should have delivered greater price relief to consumers.
Executive Vice Chairman and Chief Executive Officer of the FCCPC, Tunji Bello, stressed that the commission is not a price regulator but has a statutory responsibility to ensure fair competition and consumer protection.
“To be clear, the Commission does not regulate or approve petroleum prices in a deregulated downstream market. Our responsibility under the Federal Competition and Consumer Protection Act, 2018, is to promote competitive markets, prevent anti-competitive conduct, and protect consumers from unfair, deceptive and exploitative business practices.”
Bello said the commission was concerned that consumers appeared to bear the full impact of rising crude prices but were not benefiting equally from falling international oil prices.
“We are concerned that while dealers often respond swiftly by hiking pump prices whenever crude prices rise, it is curious that it is taking forever for consumers to benefit significantly when crude prices fall. Competitive markets must work fairly in both directions.”
He warned that deregulation does not absolve market participants of their responsibility to operate fairly and competitively.
“Market liberalisation does not diminish businesses’ obligations to compete fairly or consumers’ right to fair treatment. Where credible evidence indicates conduct that undermines competition, exploits consumers or otherwise contravenes the Federal Competition and Consumer Protection Act, the Commission will investigate and take appropriate enforcement action.”
The commission also urged consumers to report suspected cases of price manipulation, anti-competitive conduct and other unfair market practices through its established complaint channels.
The FCCPC’s intervention comes amid growing expectations that pump prices should continue to decline following recent reductions in ex-depot prices by local refiners, including the Dangote Petroleum Refinery, as international crude oil prices retreat from recent highs.
