The Nigeria Upstream Petroleum Regulatory Commission (NUPRC) has ordered oil refiners in the country to provide monthly price quote on crude oil supply.
The directive was given at a meeting with the crude producers, under the umbrella of the Oil Producers Trade Section of the Lagos Chamber of Commerce and Industry.
The commission further ordered producers and refiners to provide it with cargo price quotes on crude oil supply and delivery for effective monitoring and regulation of transactions among parties.
Chief Executive officer of NUPRC, Mr Gbenga Komolafe, in a statement on Thursday, said the meeting agreed to concede to a framework that would be mutually beneficial to ensure that local refineries were not strangulated due to off-the-curve prices.
He also said the meeting was focused on the status review of the Framework for Seamless Operationalisation of Domestic Crude Oil Supply Obligation Template.
According to him, the Federal Government and crude oil producers in Nigeria had committed to working toward a sustainable supply of crude oil to local refineries under a market-determined pricing system.
Komolafe said the aim is to ensure that while the operators do business optimally, the refineries are not starved of feedstock.
He said it was part of efforts to effectively implement key sections of the Petroleum Industry Act (PIA) 2021, especially the issue of pricing and crude supply to the domestic refineries.
“We need to have the price quotes monthly,” he directed.
