Petrol Prices Should Drop With Crude Costs

The Federal Competition and Consumer Protection Commission (FCCPC) says it is monitoring petrol prices to ensure Nigerian consumers benefit from the recent decline in international crude oil prices.

The commission’s Executive Vice Chairman, Tunji Bello, gave the assurance on Tuesday, saying it would track movements in wholesale and retail petroleum prices with other relevant government agencies.

Brent crude futures have fallen from a peak of $115 per barrel in September to below $90 this week, according to the commission.

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However, petrol prices currently range between N1,405 and N1,420 per litre in Abuja and between N1,325 and N1,370 in Lagos, the FCCPC said.

The commission said petrol sold for between N839 and N925 per litre in Lagos and Abuja on Feb. 27, the day before the outbreak of the conflict involving the United States, Israel and Iran, when Brent crude closed at $72.48 per barrel.

Petroleum marketers have attributed recent fuel price increases to volatility in international crude prices following the conflict and the blockade of the Strait of Hormuz, a major route for global oil shipments.

FCCPC Orders Withdrawal of Poorly Labelled Goods (NewsCentral TV) — The Federal Competition and Consumer Protection Commission (FCCPC). Credit: The Cable

Bello said a sustained decline in crude prices should lead to lower wholesale costs and eventually cheaper fuel at filling stations.

“If the decline in crude prices is sustained, there is no justification for refiners and marketers to continue to keep petrol and diesel prices relatively high,” he said.

“We expect easing in wholesale petrol costs and for the resulting savings to reach consumers at the pump without undue delay.”

He said the commission was aware of the impact of high fuel prices on Nigerians and would work with the Nigerian Midstream and Downstream Petroleum Regulatory Authority and other agencies to monitor prices.

“We are aware of the difficulties high pump prices have caused Nigerians for some time now. Let me reassure that the Commission will continue to work with the Nigerian Midstream and Downstream Petroleum Regulatory Authority and other relevant government agencies to track wholesale and retail petrol prices.

“Where there is evidence of anti-competitive conduct or unfair practices that prevent consumers from benefiting from lower costs, we will take appropriate action within our mandate.”

Author

Jimisayo Opanuga

Jimisayo Opanuga is a web writer in the Digital Department at News Central TV, where she covers African and international stories. Her reporting focuses on social issues, health, justice, and the environment, alongside general-interest news. She is passionate about telling stories that inform the public and give voice to underreported communities.